Forte Biosciences jumps after top shareholder tells co to liquidate
24/05/2022 19:21
** Forte Biosciences shares FBRX.O rise as much as 14.7%
to $1.25
** Co's largest shareholder hedge fund, BML Capital
Management, sent a letter http://www.sec.gov/Archives/edgar/data/1373604/000156761922011599/0001567619-22-011599-index.htm
asking the skin-disease treatment developer to consider
liquidation as opposed to its current reorganization plan
** Co could have returned $2.50 to $2.60 per share to
shareholders had it considered liquidation, the hedge fund's
Brad Leonard says in the letter
** Co did not immediately respond to Reuters' request for
comment
** "There is no need to maintain public company
clinical-stage costs and salaries for the small amount of
pre-clinical work that is ongoing today at Forte," shareholder
says urn:newsml:reuters.com:*:nBw2GH9Cta
** As of May 24, BML Investment Partners, L.P. owns a 8.94%
stake in co, with 1.32 mln shares
** Last week, FBRX posted a loss of $0.17/shr for Q1, and
said it expects its autoimmune disease treatment FB-102 to be in
the clinic in the second half of 2023 urn:newsml:reuters.com:*:nBw2GH9Cta
** Up to last close, FBRX fell 47.2% YTD
(Reporting by Nandhini Srinivasan)
((Nandhini.Srinivasan@thomsonreuters.com;))