Thinly traded nano cap KaloBios Pharmaceuticals (KBIO +13.4%) perks up on modest volume in response to its announcement that the FDA is on board with the key elements in its development plan for Chagas disease drug benznidazole, including its intent to use the abbreviated 505(b)(2) regulatory pathway which allows some of the supporting data to be derived from studies performed by others.
In other news, the company will present a business update to investors on Tuesday, January 10 at 11:00 am ET at the Biotech Showcase in San Francisco.
The rollercoaster in nano cap biotechs is alive and well. KaloBios Pharmaceuticals (KBIO +21.2%) jumps on a modest 75K shares on no particular news. Shares had lost over 40% of their value since last month before reversing.
Thinly traded KaloBios Pharmaceuticals' (KBIO -27.4%) turnaround efforts apparently have failed to convince investors. Shares have lost over 40% of their value in a month. It has two pipeline candidates: benznidazole for Chagas disease and lenzilumab for a type of leukemia.
Former CEO Martin Shkreli sold his entire stake in the company several months ago.
In a statement, KaloBios Pharmaceuticals (KBIO +7.1%) says former CEO Martin Shkreli has sold his entire stake in the firm to other investors in private transactions.
The company continues its turnaround efforts. It emerged from Chapter 11 bankruptcy on June 30 with $14M in equity financing and the rights to develop antiparasitic drug benznidazole for Chagas disease. A Phase 1 study of product candidate lenzilumab in chronic myelomonocytic leukemia is underway as well.
The new directors at KaloBios Pharmaceuticals (NASDAQ:KBIO) have decided to withdraw the company's Nasdaq appeal, opting instead to focus the firm's resources on executing its business plan and reorganization. Accordingly, the stock will be delisted today. Shares will be eligible to trade in over-the-counter markets.
KaloBios Pharmaceuticals (NASDAQ:KBIO) announces the election of two independent directors to the board: Ronald Barliant and Dr. Cameron Durrant. Also, board member Michael Harrison resigned effective January 7.
Dr. Durrant, who will serve as Chairman, is a seasoned pharma/biotech executive and turnaround specialist.
Mr. Barliant is an attorney and former bankruptcy judge for the Northern District of Illinois.
Embattled former Turing Pharmaceuticals and KaloBios (NASDAQ:KBIO) chief Martin Shkreli has put his $45M E*Trade account up in order to post his $5M bail after being arrested on fraud charges. At least he gets to keep his $2M Wu-Tang Clan album (for now).
In a letter to KaloBios Pharmaceuticals (NASDAQ:KBIO), Nasdaq notifies the company that its Chapter 11 bankruptcy filing is a separate and additional basis for delisting, as is the resignation of two board members, Tom Fernandez and Marek Biestek, which leaves only one member on its audit committee.
The company's delisting appeal and the additional bases will be discussed at the hearing on February 25.
KaloBios (NASDAQ:KBIO) ain't dead yet. It filed an appeal with Nasdaq over its delisting, originally planned for December 30. A hearing is scheduled for February 25. In the meantime, the company will retain its listing, although trading has yet to resume from its December 17 suspension.
The fallout continues at KaloBios Pharmaceuticals (NASDAQ:KBIO). Directors Tom Fernandez and Marek Biestek resigned yesterday. The company is crumbling since former CEO Martin Shkreli's arrest on December 17, also the day trading was suspended.