Renovis Slashing Jobs

Renovis (RNVS Quote) slashed its workforce by 40%.

The South San Francisco, Calif., biotech made the move less than three months after partner AstraZeneca (AZN Quote) pulled the plug on a stroke drug the companies were developing. That news sent shares of Renovis tumbling 73% in a day back in October.

Renovis said Tuesday that its VR1 collaboration with Pfizer (PFE Quote) and its ability to advance its unpartnered programs focused on antagonists of the purinergic receptors P2X7 and P2X3 are unaffected by the restructuring.

Renovis expects to incur $1 million in restructuring charges in the first quarter. As of Sept. 30, Renovis had cash, cash equivalents and marketable securities of $104.7 million. Based on current projections, the company expects current cash, cash equivalents and marketable securities to be sufficient to fund projected activities at least through the end of 2009.

Shares rose a dime late Tuesday to $3.55.