Former Martin Shkreli firm KaloBios files for Chapter 11 bankruptcy
Updated : 14:42
KaloBios Pharmaceuticals, which fired controversial chief executive Martin Shkreli earlier this month, has filed for Chapter 11 bankruptcy.
The company listed its assets and liabilities in the range of $1m to $10m in its filing with the US bankruptcy court for the District of Delaware.
On Tuesday, KaloBios announced that it will appeal Nasdaq’s decision to delist the company’s shares, with a hearing on the appeal set for 25 February.
Nasdaq announced its intention to delist the shares last week, pointing to Shkreli’s arrest, among other things.
Shkreli was let go from KaloBios after he was arrested for taking in part in what prosecutors referred to as a Ponzi-like scheme.
As CEO of Turing Pharmaceuticals, Shkreli earned himself the nickname “most hated man on the internet” after he bought the rights to a drug used to treat people with weak immune systems caused by illnesses such as HIV and raised its price from $13.50 per pill to a whopping $750.
KaloBios also lost two of its directors this week, as Tom Fernandez and Marek Biestekhad resigned after Shkreli's arrest.
Kalobios' largest creditors include the University of Miami, Ernst & Young and Lonza Sales.