QLT Inc. has formed a Special Committee to "review all strategic alternatives available," according to a company statement. The committee, comprised of three independent directors from the board, has appointed Morrison & Foerster, LLP as legal counsel. The committee has been charged, among other things with the responsibility for "exploring alternative ways to maximize shareholder value," including a selloff of all or part of the company.
QLT's board is reviewing proposals from several investment bankers and expects to appoint a Financial Advisor in the near future to assist the committee in the evaluation of strategic alternatives.
Boyd Clarke, QLT's chairman, remarked, "The board of directors believes that the net value of the assets of the company exceeds the value represented by the stock price. We had hoped to address that disconnect through the deployment of our current strategic plan. However, as the gap continues to widen we have decided that, other than as contractually required, making significant additional investments in all of our current products and technologies would be inconsistent with our objective of maximizing shareholder value."
Visudyne, the company's lead product for age-related macular degeneration (AMD), has seen sales deteriorate in the face of competition. The company also took a $110 million charge in 2Q07 related to a patent dispute.