Business

Dara BioSciences gets more time to avoid Nasdaq delisting

Dara BioSciences reported Tuesday that it has been given an additional 180 days to boost its stock price and avoid delisting from the Nasdaq stock exchange.

Dara has been in danger of being delisted since its share price fell below $1 last fall. The stock closed Tuesday at 69 cents.

The Raleigh company has informed the exchange that it is willing to regain compliance by effecting a reverse stock split, if necessary. Dara completed a reverse stock split last year to boost its stock price and avoid delisting.

Dara shares have lost nearly 40 percent of their value over the past year.

Last week, the company reported a net loss of $3.2 million, or 16 cents per share, in the first quarter, compared with a loss of $2.7 million, or 37 cents per share, during the same period last year.

First-quarter revenue was $652,200, up from $161,500 during the first quarter of 2014.

Dara’s two main products are Soltamox, an oral liquid formulation used in the treatment and prevention of breast cancer, and Gelclair, a treatment of oral mucositis, or swelling and bleeding of the mouth and gums. The company expects revenue from the two products to reach $3.7 million this year.

In March, Dara acquired the U.S. rights to Oravig, a treatment for a condition known as oral thrush. The company expects to begin selling the drug later this year.

Dara is also developing the drug KRN5500 for the treatment of multiple myeloma, a cancer that starts in plasma cells in bone marrow, and for its potential treatment of chemotherapy-induced peripheral neuropathy in cancer patients.

Dara had $9.9 million in cash on hand as of the end of March. The company believes its cash, plus projected sales of its approved drugs, will allow it to fund current operations through the first quarter of next year.

Bracken: 919-829-4548;

Twitter: @brackendavid

  Comments