Eliem Therapeutics' stock soars 21% premarket after company says it may sell itself

Eliem Therapeutics Inc.'s stock (ELYM) soared 21% in premarket trade Thursday, after the biotech, which specializes in therapies for neuronal excitability disorders, said it is exploring its strategic options. The Seattle and Cambridge, U.K.-based company said it has halted the development of its Kv7 program, which was focused on treatments for pain and epilepsy. The company has hired Leerink to act as strategic adviser. "As part of this process, Eliem will explore potential strategic alternatives that may include, but are not limited to, an acquisition, merger, business combination, or other transaction," the company said in a statement. As of June 30, it has a preliminary unaudited amount of about $102.6 million in cash and equivalents. The stock has fallen 24% in the year to date, while the S&P 500 has gained 19%.

-Ciara Linnane

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07-20-23 0657ET

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