NLS Pharmaceutics Explores Strategic Alternatives to Maximize Shareholder Value
By Chris Wack
NLS Pharmaceutics, a biopharmaceutical company, has announced its ongoing process of exploring strategic alternatives to maximize shareholder value. As part of this initiative, the company plans to implement workforce reduction measures by cutting 50% of its current workforce.
Stock Performance
The announcement caused NLS Pharmaceutics shares to decline by 35%, reaching a low of 32 cents. Over the past 12 months, the stock has experienced a significant decrease of 38%. Earlier during the Thursday session, the stock hit its 52-week low at 26 cents.
Diversifying Revenue Streams and Mitigating Risks
NLS Pharmaceutics aims to diversify its revenue streams, mitigate risks, and create long-term value for its stakeholders. To achieve this, the company has begun a comprehensive exploration of new opportunities.
Strategic Partnerships and Asset Out-Licensing
As part of its strategic initiatives, NLS Pharmaceutics plans to enter into strategic partnerships and consider out-licensing its company assets. The company has already identified a strategic partner and reached a non-binding term sheet for the out-licensing of its intellectual property, including its key asset, Mazindol. Although the financial terms of the term sheet are yet to be finalized, the transaction is expected to close in the first quarter of 2024.
Additional Financing
To support its operations and extend its cash runway until the second quarter of 2024, NLS Pharmaceutics has secured additional bridge financing totaling $1 million.
Popular
All Rights Reserved © 2024
Write Your Comment