LMNL - Liminal Biosciences: Sale Of Plasma Therapeutics Business Leaves Cupboard Looking Bare
- Liminal Biosciences shares skyrocketed last August as the FDA handed an Emergency Use Authorization to convalescent plasma treatments to treat hospitalized COVID patients.
- The upside was short lived, however, as studies showed that the treatment did not improve patients' conditions. Liminal shares have fallen from $23 to $4.
- As such, Liminal - which completed a restructuring in 2019 but still made a loss of $92.7m in FY20 - put its entire plasma therapeutics business up for sale.
- Liminal has now agreed a sale to Italy based Kedrion - for $17m, with $5m more on the table, plus 70% of a potential sale of a priority review voucher if Ryplazim - a plasminogen treatment - is approved.
- Liminal intends to focus on its small molecules division which is early stage but showing a little promise. If Ryplazim does not win approval in June, however, Liminal's financial woes are likely to drag its share price down further.
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Liminal Biosciences: Sale Of Plasma Therapeutics Business Leaves Cupboard Looking Bare