(Updates with share price in the fourth paragraph.)
Dec. 22 (Bloomberg) -- Poniard Pharmaceuticals Inc. declined 35 percent after agreeing with Allozyne Inc. to end a planned merger because the combined shares wouldn’t qualify for a stock market listing.
Being listed was a condition for closing the deal announced on June 22, South San Francisco, California-based Poniard said in a statement today. The company’s board is “exploring alternatives” for its assets, according to the statement.
Poniard and closely held Allozyne, based in Seattle, would have combined in an all-stock exchange to support Allozyne’s product pipeline and spin off Poniard’s experimental drug picoplantin. The medicine didn’t help lung cancer patients live longer, according to a November 2009 trial.
Poniard dropped 13 percent to $2.56 at 9:48 a.m. New York time, after earlier plunging to $1.91, its lowest intraday price since 1998. The stock has declined 87 percent in the last 12 months, leaving the company with a market value of $3.8 million.
--With assistance from Sarah Frier in New York. Editors: Bruce Rule, Adriel Bettelheim
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