Eiger Biopharmaceuticals Files for Chapter 11 Bankruptcy (2)

Eiger Biopharmaceuticals Inc., a company developing therapies for rare metabolic diseases, has filed for bankruptcy.

Publicly traded Eiger listed about $38.8 million in assets and $53.1 million in liabilities in a Chapter 11 petition filed Monday in Dallas. Eiger said it intends to sell all its assets and wind down its operations.

The stock fell as much as 78% after Bloomberg reported the filing. In bankruptcy, equity is last in line for repayment and shareholders are usually wiped out.

The drugmaker said it has already struck a deal to sell its branded drug Zokinvy to Sentynl Therapeutics Inc. for ...