Gilead punts hep B drug as GlobeImmune joins the (dead quiet) ranks of zombie biotechs
GlobeImmune has joined a group of the walking dead in biotech. And for a company that has been partnered with the likes of Celgene and Gilead, the fall from grace has been hard and painful.
After Thursday’s market close the biotech announced that Gilead has returned rights to GS-4774, 6 months after the hepatitis B treatment failed a Phase II study. CEO Timothy Rodell, who was still holding out hope for GS-4774 last May, has resigned. Four members of the board — J. William Freytag, Augustine J. Lawlor, Dan J. Mitchell and S. Edward Torres — followed him out the door. And the company is giving up its 40,000 square foot HQ in Louisville, CO.
The stock $GBIM was delisted from Nasdaq months ago and is trading in penny stock territory. At the end of March, the company had less than $9 million in cash to work with, which it said could last until mid-2017 as it reviewed its “strategic alternatives.” And you won’t be hearing about any other news from the company. Its release stated:
The Company is no longer required to file annual, periodic and current reports with the SEC or release any other information. The Company does not plan to publicly release any further information about its operations or business.