KV files for bankruptcy
KV Pharmaceutical Co. (NYSE:KV-A) filed for Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the Southern District of New York. The company said it has been "unable to realize the full value" of Makena hydroxyprogesterone caproate, citing FDA's lack of enforcement of the market exclusivity for the preterm birth drug under the Orphan Drug Act. KV is seeking protection while it restructures its financial obligations, which include $95 million in milestones, plus royalties, owed to Hologic Inc. (NASDAQ:HOLX). KV has rights to the long-acting 17 alpha-hydroxyprogesterone caproate (17p) from Hologic. According to the filing, KV has $236.6 million in assets and $728.3 million in liabilities. As of June 30, KV had $38.2 million in cash. On Monday, the NYSE suspended trading of KV's shares and said it will delist the shares as a result of the company's bankruptcy filing. ...