Lisata Therapeutics (LSTA) shares were down about 17% in Friday afternoon trading after the company said it has terminated its previously announced proposed merger with Kuva Labs.
Lisata was informed that Kuva Labs failed to secure sufficient funding to fulfill the tender offer to acquire all of Lisata's outstanding shares, the company said in a Friday filing.
As a result of the termination, Lisata said it is entitled to a fee of $2 million and has the right to seek damages, but there is no assurance it will be able to obtain damages due to its limited funds for litigation and Kuva Labs' inability to satisfy its claims with its existing assets.
Price: $1.77, Change: $-0.35, Percent Change: -16.51%