NEW YORK ( TheStreet) -- Shares of Myrexis (MYRX) were surging in late trades Friday after the company announced plans to liquidate itself and distribute the resulting proceeds and all of its remaining cash to shareholders.
The stock was last quoted at $2.89, up 23.5%, on volume of nearly 270,000, according to Nasdaq.com.
"After evaluating the Company's strategic options, the Board of Directors reached the conclusion that it is in the best interest of the shareholders to dissolve and liquidate the Company," said Gerald Belle, the company's chairman.
Belle continued: "The Board of Directors and management, together with its external advisors, devoted substantial time and effort in identifying and pursuing opportunities to enhance shareholder value; however, that process did not yield a potential transaction which the Board viewed as reasonably likely to provide greater realizable value to its shareholders than the complete dissolution and liquidation of the Company in accordance with the Plan of Dissolution."The company estimated that the total "initial liquidating distribution" to shareholders would be between $72.9 million and $77.9 million, or between $2.72 to $2.91 per share. Also active after the close was Star Scientific (STSI), whose shares were down more than 10% at $2.30 on volume of more than 20,000. The company reported its third-quarter results late Friday, posting a profit of $400,000 on net sales of $1.7 million. Lockheed Martin (LMT) made headlines late Friday as well, announcing the resignation of Chris Kubasik as chief operating officer, president and vice chairman. Kubasik, who had been slated to take over as chief executive officer in January, was asked to resign after Lockheed learned he had a "a close personal relationship with a subordinate employee." "His actions violated the company's Code of Ethics and Business Conduct, but did not affect the company's operational or financial performance," Lockheed said in a statement. The company also named Marillyn Hewson to assume the CEO role, effective Jan. 31. Hewson, most recently executive vice president of Electronic Systems at the company, took on the president and COO positions immediately as well. The stock was up incrementally in extended trades. -- Written by Michael Baron in New York.
>To contact the writer of this article, click here: Michael Baron.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV