La Jolla says shares will be delisted Thursday
La Jolla Pharmaceutical Co. said Wednesday its stock will be delisted from the Nasdaq on Thursday, and added that shareholders did not respond to its plans to merge with another drug company.
The stock will be suspended from the Nasdaq starting Thursday morning after a panel denied La Jolla's request for an extension. The company does not have any products on the market, and trials of the only drug it was developing, the lupus treatment Riquent, were suspended more than a year ago.
La Jolla said it expects its shares will be traded over the counter.
In morning trading, La Jolla's stock fell 5 cents, or 31 percent, to 11 cents. The stock has traded between a high of 64 cents and a low of 4 cents over the last year. The company's market capitalization is currently around $10.5 million.
The company proposed a merger with Adamis Pharmaceuticals Corp., but it did not receive enough responses from shareholders to hold a meeting. The planned meeting has been canceled due to the delisting and the company will not try to solicit any more votes.
The company proposed its dissolution in October, but could not get enough of a response from shareholders to go ahead with the move. La Jolla said 13 percent of shareholders responded to the proposed merger, compared with about 8 percent who responded to the dissolution plan. It did not say how those shareholders voted.