NeuBase Therapeutics will hold a special shareholder meeting May 13 to approve a plan to liquidate and dissolve the Pittsburgh biotech firm.
The meeting follows the decision in February by NeuBase’s board of directors to dissolve the company, which had been one of the region’s promising biotech firms. It had gained notice for its potential to treat genetic diseases like Huntington’s disease and cancer as well as its gene editing platform. It had as many as two dozen people before August 2023, when it announced it was reviewing strategic alternatives and halting development. NeuBase (Nasdaq: NBSE) had last year fallen below the minimum listing standard of the Nasdaq.
It wasn’t immediately clear how much of NeuBase’s assets would return to stockholders after taxes, dissolution costs, claims and how much it owes others. In a U.S. Securities and Exchange Commission filing Monday, NeuBase said it projected having between $500,000 and $2.5 million in cash to distribute to shareholders. That would total between 13 cents and 67 cents a share of common stock, the filing said.
NeuBase said it had, after laying off 83% of its staff in August 2023, looked for a potential reverse merger with outside companies as well as the potential dissolution.
“The Board believes that the Dissolution is in NeuBase’s best interests and the best interests of our stockholders,” according to the SEC filing. “The Board considered and pursued at length potential strategic alternatives available to NeuBase such as a merger, asset sale, strategic partnership or other business combination transaction.”
It said it determined winding up the company gives the most value to shareholders.
