Why Ventrus Biosciences (VTUS) Stock Plunged to a One-Year Low Today

NEW YORK (TheStreet) -- Ventrus Biosciences  (VTUS) plunged to a one-year low of 85 cents on Monday after the company agreed to merge with Assembly Pharmaceuticals in an all-stock transaction.

The combined company will be known as Aseembly Biosciences and will trade on the NASDAQ under the ticker ASMB. This new company will focus on the development of Assembly's small molecules to treat, and possibly cure, the hepatitis B virus infection.

Ventrus will issue approximately 23 million shares of common stock to Assembly's stockholders under the deal. At the time of issuance, 20,322,760 shares will be issued common stock and 2,829,740 shares will be shares underlying stock options of Assembly. The companies expect the merger to be completed by July 10, 2014. The deal is subject to approval by Ventrus stockholders.

Must Read: Warren Buffett's 25 Favorite Stocks

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

The stock was down 16.76% to 88 cents at 3:09 p.m.

VTUS Chart

VTUS data by YCharts

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

More from Markets

Apple and GE Switch Roles; Musk's Super Control of Tesla Explained -- ICYMI

Apple and GE Switch Roles; Musk's Super Control of Tesla Explained -- ICYMI

Trump May Be More to Blame For Higher Oil Prices Than OPEC

Trump May Be More to Blame For Higher Oil Prices Than OPEC

Dow Falls Over 200 Points as Apple's Slump Offsets Gains in General Electric

Dow Falls Over 200 Points as Apple's Slump Offsets Gains in General Electric

Week Ahead: Major Earnings on Tap as Wall Street Readies for Geopolitical Moves

Week Ahead: Major Earnings on Tap as Wall Street Readies for Geopolitical Moves

3 Hot Reads From TheStreet's Top Premium Columnists

3 Hot Reads From TheStreet's Top Premium Columnists