Clovis Oncology stock slides 10% premarket after enterprise documents for bankruptcy

Clovis Oncology Inc. inventory
CLVS,
-9.94%
fell 10% in premarket trade Monday, following the biotech filed for Chapter 11 individual bankruptcy and mentioned it would market property. The organization has a commitment for up to $75 million in debtor-in-possession funding to give the liquidity desired to restructure in personal bankruptcy and pay back its distributors and customers. Ahead of submitting, the corporation entered a “stalking horse” agreement with Novartis AG to receive the legal rights to its scientific applicant FAP-2286, for an upfront payment of $50 million and up to $333.75 million on reaching sure improvement and regulatory milestones. It will also get up to $297 million for reaching specified gross sales milestones. Clovis warned in November that it may be forced into bankruptcy as it was working out of income.