Novelion Therapeutics Inc. (NASDAQ:NVLN) Files An 8-K Other Events

Novelion Therapeutics Inc. (NASDAQ:NVLN) Files An 8-K Other Events

Novelion Therapeutics Inc. (NASDAQ:NVLN) Files An 8-K Other Events
Item 8.01 Other Events.

Nasdaq Matters

On August 28, 2019, Novelion Therapeutics Inc. (the “Company”) received a notice from the Nasdaq Hearings Panel (the “Panel”) granting a 15-calendar day stay, or until September 12, 2019, of the delisting of the Company’s common stock from The Nasdaq Stock Market in response to the Company’s request for a hearing. Upon expiration of the stay period, the Company’s common stock will be suspended from trading unless the Panel extends the stay of delisting pending the hearing. The hearing is currently scheduled for October 3, 2019.

Bankruptcy Proceedings

On May 20, 2019, as previously reported in the Company’s Current Report on Form 8-K, filed on May 21, 2019, (i) Aegerion Pharmaceuticals, Inc. and Aegerion Pharmaceuticals Holdings, Inc. (together, “Aegerion”), each a subsidiary of the Company, filed voluntary petitions under chapter 11 of Title 11 of the United States Code in the United States Bankruptcy Court for the Southern District of New York (the “Bankruptcy Court”) and (ii) Aegerion entered into a Plan Funding Agreement (the “Plan Funding Agreement”) with Amryt Pharma Plc (the “Plan Investor”) setting forth the terms and conditions of the acquisition by the Plan Investor of 100 percent of the outstanding equity interests of the reorganized Aegerion Pharmaceuticals, Inc.

On August 22, 2019, as reflected in the Declaration of James Daloia of Prime Clerk LLC Regarding Solicitation of Votes and Tabulation of Ballots Cast on Debtors’ First Amended Joint Chapter 11 Plan, which was filed with the Bankruptcy Court, each of the three classes of creditors entitled to vote on Aegerion’s chapter 11 plan voted to accept the plan.  There is a hearing scheduled for September 5, 2019 at which Aegerion will seek an order of the Bankruptcy Court confirming the chapter 11 plan and authorizing Aegerion to close on the transactions contemplated thereunder.

Further, on August 22, 2019, the “go-shop” period established to the terms of the Plan Funding Agreement expired. During the “go shop” period, Aegerion did not receive any superior alternative transaction proposals.

Quarterly Report on Form 10-Q for the Quarter Ended June 30, 2019

As previously reported, as a result of the bankruptcy proceedings, the Company analyzed and evaluated the appropriate accounting treatment of its investment in Aegerion and concluded that Aegerion’s financials should be deconsolidated from the Company’s financial statements (the “Deconsolidation”), commencing with the Company’s interim financial statements for the quarter ended June 30, 2019. As required, on August 12, 2019, the Company filed a Form 12b-25 with the Securities and Exchange Commission which reported that it would not be in a position to timely file its Quarterly Report on Form 10-Q for the quarter ended June 30, 2019 (“Form 10-Q”) because of the significant work required to effect the Deconsolidation and the other demands associated with the bankruptcy proceedings. The Company is diligently proceeding with its accounting efforts to effect the Deconsolidation and intends to file its Form 10-Q as soon as that work has been completed, which the Company currently expects will be in the fourth quarter of 2019.

Cautionary Information Regarding Trading in the Company’s Securities

The Company cautions that trading in the Company’s securities is highly speculative and poses substantial risks.   Trading prices for the Company’s securities may bear little or no relationship to the actual value realized, if any, by holders of the Company’s securities.  Accordingly, the Company urges extreme caution with respect to existing and future investments in its securities.

Forward Looking and Cautionary Statements

Certain statements in this Form 8-K constitute “forward-looking statements” and “forward-looking information” within the meaning of applicable laws and regulations, including U.S. and Canadian securities laws. There can be no assurance that these forward-looking statements will be achieved, and actual results could differ materially from those suggested by the forward-looking statements. Therefore, the forward-looking statements in this Form 8-K should be considered in light of the risks and uncertainties that attend such statements, including, but not limited to, the Company’s ability to effect the Deconsolidation within the timeframe anticipated or at all, the Bankruptcy Court’s confirmation of the chapter 11 plan and

authorization to close on the transactions contemplated thereunder, the delisting of the Company’s securities from The Nasdaq Stock Market and the success of any appeal or request for an extended stay associated therewith, the possibility that there will be no market for trading the Company’s securities or that trading will be suspended, as well as those risks identified in the Company’s Current Report on Form 8-K filed on May 21, 2019 (which, in addition to identifying important risks, also includes important information about the bankruptcy proceedings and related matters), which is available on the SEC’s website at If the Company’s common stock is delisted from Nasdaq, it may trade in the U.S. on the over-the-counter market, which is a less liquid market. In such case, the Company’s shareholders’ ability to trade, or obtain quotations of the market value of, the Company’s common stock would be severely limited because of lower trading volumes and transaction delays. The Company makes no commitment to revise or update any forward-looking statements in order to reflect events or circumstances after the date any such statement is made, except as required by law.

Investors and others should note that the Company communicates with its investors and the public using the Company’s website, including, but not limited to, company disclosures, investor presentations and FAQs, SEC filings, press releases, public conference call transcripts and webcast transcripts. The information that the Company posts on this website could be deemed to be material information. As a result, the Company encourages investors, the media and others interested to review the information that the Company posts there on a regular basis. The contents of the Company’s website shall not be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended or the Exchange Act.

About Novelion Therapeutics Inc. (NASDAQ:NVLN)

Novelion Therapeutics Inc, formerly QLT Inc., is a Canada-based biopharmaceutical company. The Company is engaged in development of new standards of care for individuals living with rare diseases. The Company is focused on advancing its portfolio of rare disease therapies by investing in science and clinical development. The Company holds a portfolio of products through its subsidiary, Aegerion Pharmaceuticals, Inc., a biopharmaceutical company dedicated to the development and commercialization of innovative therapies for patients with debilitating rare diseases. The Company’s portfolio of products include MYALEPT and JUXTAPID. The Company is also developing zuretinol acetate for the treatment of inherited retinal disease caused by underlying mutations in RPE65 or LRAT genes.