A badly crippled Neurobiological Technologies has brought a financial adviser on board to review a possible sale of the company or its major assets. And if that doesn't work out, the CEO raised the prospect of liquidating assets and distributing cash to shareholders.
"We have retained RBC Capital Markets to assist us in efficiently determining if there is a transaction more beneficial to our shareholders than a liquidation," acting CEO William Fletcher said. "We have a duty to our shareholders to maximize the value of NTI. We intend to proceed expeditiously in this process while continuing to wind-down operations, cut expenses and preserve cash. If our evaluation of strategic options does not result in a transaction that meets our objectives, NTI will act expeditiously to return as much cash as possible to our shareholders through a liquidation or other means."
Near the beginning of this year the Emeryville, CA-based biotech suspended research into its lead drug, Viprinex, after it failed to demonstrate a benefit for acute ischemic stroke. Viprinex was developed from the venom of the Malayan pit viper. The company laid off 75 percent of its staff as cash reserves dwindled and its shares closed at 62 cents yesterday.
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