BOULDER — Nivalis Therapeutics Inc. (Nasdaq: NVLS), a developer of drugs to treat cystic fibrosis, is exploring “strategic alternatives,” including a possible sale, the company announced Tuesday. The announcement came a month after Nivalis reported negative results for its cycstic fibrosis drug, covosonstat.
Nivalis said in a prepared statement that it “has initiated a process to explore and review a range of strategic alternatives focused on maximizing stockholder value from its clinical assets and cash resources.”
Nivalis has engaged Ladenburg Thalmann & Co. Inc. to act as its strategic financial adviser. In conjunction with the exploration of strategic alternatives, the company said it also intends to streamline its operations in order to preserve its capital and cash resources.
“The Board has established a Special Committee to explore and evaluate strategic alternatives. Potential strategic alternatives that may be explored or evaluated as part of this process include the potential for an acquisition, merger, business combination or other strategic transaction involving the Company,” the company said.
Nivalis said it intends to complete its ongoing SNO-7 trial of cavosonstat in patients with cystic fibrosis who are currently taking Kalydeco (ivacaftor), which is expected to be completed in the first quarter of 2017.
Nivalis’ stock closed Jan. 3 at $2.20 per share, down from $2.24.