05:11 PM EDT, 06/18/2024 (MT Newswires) -- Cara Therapeutics ( CARA ) late Tuesday disclosed plans to explore strategic alternatives and lay off 70% workforce after discontinuing work on its difelikefalin drug candidate last week for failing to show clinical benefit in pruritus treatment, a nerve disorder.

The company is expecting to recognize around $2.6 million in one-time charges associated with the job cuts, mostly for termination costs during the current and upcoming quarters this year. The company expects to complete the workforce reduction by the end of June.

Cara said previously that it had about $70 million in cash, equivalents and marketable securities on hand at the end of March.

Cara shares were up more than 3% in extended trading, after a nearly 5% regular-session decline.

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