Neo­thet­ics sheds staff, looks for sur­vival strat­e­gy in wake of tri­al fail­ure; GSK walks away from On­coMed pact

⇨ About two weeks af­ter Neo­thet­ics’ shares $NEOT nose-dived in­to pen­ny stock ter­ri­to­ry fol­low­ing the Phase II fail­ure of its aes­thet­ic fat-buster, the com­pa­ny says it’s shed­ding staff to con­serve cash while set­ting out to look for a deal, or merg­er or some oth­er strate­gic al­ter­na­tive, to help set things right for dis­ap­point­ed in­vestors.

⇨ The bad news keeps pil­ing up at On­coMed $OMED. Glax­o­SmithK­line, we now hear through a SEC fil­ing, has ter­mi­nat­ed its pact with the biotech on tarex­tum­ab. GSK inked a $1.4 bil­lion deal with On­coMed about nine years ago, but it’s all over now. On­coMed has re­port­ed a se­ries of clin­i­cal fail­ures for its pipeline and its mar­ket cap has shrunk to $122 mil­lion.

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