Security outfit Cyren is cutting “substantially all” of its staff and is exploring an asset sale or liquidation.
In a news release, the publicly traded company said that “existing cash and projected cash flows from operations will not be sufficient to meet the company‘s working capital needs in the near term.”
The email security and threat detection vendor blamed “current market conditions and associated challenges with raising additional capital” for the company’s situation.
“In the absence of additional sources of liquidity, management anticipates that the company‘s existing cash and projected cash flows from operations will not be sufficient to meet the company’s working capital needs in the near term,” Cyren said in a statement.
“The company continues to assess all of its strategic options, including potential asset monetisation or liquidation.”
Cyren leaders have “approved a plan to reduce its workforce by approximately 121 employees, representing substantially all of the company‘s workforce.”
Cyren’s CEO is Brett Jackson joined the company as chief executive in 2019. Its revenue rose four per cent year-over-year, to $5.8 million, during the third quarter, ended Sept. 30, 2022.
In the news release, Cyren said that “if the company determines that its liquidity will not allow it to meet its obligations as they become due or that additional sources of liquidity will not be available, the company may need to pursue options available under applicable insolvency laws, including winding up its operations.”
