After FDA advisory setback, Correvio considers options, including sale

Following a negative US Food and Drug Administration advisory panel regarding its cardiovascular drug Brinavess (vernakalant), US specialty pharma company Correvio Pharma (Nasdaq: CORV) today announced plans to explore strategic options to maximize stakeholder value.

Potential strategic alternatives that may be evaluated include, but are not limited to, an acquisition, merger, business combination or other strategic transaction involving the company or its assets, said Correvio, whose shares had plunged 60% pre-market, and were down further (-67.5% at $0.43) by mid-morning.

"Given yesterday's FDA's Cardiovascular and Renal Drugs Advisory Committee (CRDAC) meeting outcome for Brinavess (vernakalant IV) for the conversion of atrial fibrillation (AF), we believe it is in the best interest of our stakeholders to expand our internal corporate development efforts and formally evaluate strategic alternatives for the company," said Dr Mark Corrigan, chief executive of Correvio, adding: "We have a strong and growing commercial portfolio of assets being sold across the globe and we will immediately begin preparations for a potential strategic transaction while we await the US Food and Drug Administration (FDA)'s decision regarding Brinavess.  We are also taking steps to reduce operating costs outside the core European commercial business and a transaction committee has been formed within the Board of Directors."