KaloBios is in trouble. The publicly traded South San Francisco biotech company is facing a possible delisting from NASDAQ following in the wake of the arrest of widely loathed CEO Martin Shkreli. Shkreli bought a controlling stake in the company just this past month and served as CEO before the company fired him on Monday of this week.
"THEY SEE ME ROLLING..." pic.twitter.com/D1mDBEeZMq
— Martin Shkreli (@MartinShkreli) September 16, 2015
To add to the company's troubles, the San Francisco Business Times reports that the KaloBios independent accountant resigned after working for the company for less than two weeks.
Shkreli, you most certainly remember, made headlines when he raised the price of a live-saving drug from $13.50 to $750 (per tablet) overnight. He later announced plans to likewise hike the price of another life-saving drug.
Oh yeah, and he bought the only copy of a Wu-Tang Clan album and then claimed his price gouging of the ill was part of an ongoing artistic experiment. Which to that we can only say: fuck you, Martin.
But back to KaloBios. The Times reports that the company was teetering on bankruptcy when Shkreli bought it, and trading of the company was halted on December 18th. Nasdaq apparently cited both Shkreli's arrest for running what federal authorities allege was a Ponzi-like scheme designed to repay investors he defrauded and a civil compliant against Shkreli by the Securities and Exchange Commission in its decision to delist the company.
KaloBios may appeal the move, but if it does not do so by Wednesday, its stock will be pulled from the exchange.
Update: KaloBios has been delisted and trading was halted on the NASDAQ on Dec. 24. The company is appealing the delisting, and a hearing is scheduled for February.
Previously: Walking Trash Pile / Aspiring Rapper Martin Shkreli Fired From Bay Area Company He Just Bought