NMT Medical Inc. (PINK:NMTI) will sell its portfolio of intellectual property portfolio at auction in June as it attempts to repay its creditors after declaring bankruptcy.
Officials at the Boston, Mass.-based company, which entered into a special form of bankruptcy called an an Assignment for the Benefit of Creditors back in April, are already planning a soup-to-nuts liquidation of its headquarters in late May, where everything from office furniture to lab equipment will be sold to the highest bidder.
NMT’s auctioneer, Joseph Finn Jr. CPA, announced today that the firm will sell off its IP portfolio in early June. Included in the auction are:
- Nitinol and Other Novel Implants for Septal Defect Repair
- Radiofrequency Technology for Closure of Patent Foramen Ovale (PFO)
- Adhesive Technology for Bonding of Patent Foramen Ovale (PFO)
- Suturing and Clip Technology for Closure of Patent Foramen Ovale (PFO)
- Devices for Left Atrial Appendage (LAA) Obliteration and Remodeling
- Transseptal Puncture Technology
- Catheter-Related Technologies
- Shape-Memory Related Technology
- Distal Protection/Embolic Protection System
- Anastomosis Devices
NMT warned shareholders April 1 that the company did not have enough money to pay for its annual earnings filing with the federal Securities & Exchange Commission, after revealing in Sept. 2010 that its existing cash resources were “not sufficient to fund our business plans, as currently constituted, beyond the fourth quarter of 2010.”
The troubles for NMT began June 17, when it reported that its flagship StarFlex device failed to meet the primary endpoint of a clinical trial. The news sent NMTI’s stock price down 79 percent that day; shares were trading at less than 14 cents today, a far cry from an all-time high of $24.56.
Trying to regroup, NMT said it would "tightly manage expenses, preserve cash, evaluate financing alternatives and adjust our operating plan accordingly," as it waited for the final results of the Closure I trial to be completed in November, according to its second-quarter earnings release. But in August, the company’s poor stock performance drew a first de-listing warning from the NASDAQ exchange. Later that month, former CEO Frank Martin and chairman James Mahoney stepped down, with COO Richard Davis taking the helm as chairman, president and CEO.