Penny Stock News: Molecular Insight Announces Intention to Deregister Common Stock

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CAMBRIDGE, MA–(Marketwire – May 3, 2011) – Molecular Insight Pharmaceuticals, Inc. (OTCQB: MIPIQ) (PINKSHEETS: MIPIQ), today announced that it intends to file a Form 15 with the Securities Exchange Commission (the “SEC”) on or about May 13, 2011 to deregister its common stock and common stock purchase rights which are attached to and traded with shares of the common stock under the Securities Exchange Act of 1934, as amended, and to suspend its reporting obligations thereunder. On January 21, 2011, The Nasdaq Stock Market LLC filed Form 25 with the SEC to delist the Molecular Insight’s common stock from the Nasdaq Global Market, which delisting took effect on January 31, 2011. The Board of Directors of the Company, after careful analysis and deliberation, determined that any beneficial effect to the Company of being registered is substantially outweighed by the significant costs associated with regulatory compliance and decided to suspend the reporting obligations pursuant to the SEC rules, particularly in light of the pending Chapter 11 reorganization proceedings that was commenced by the Company on December 9, 2010 under the U.S. Bankruptcy Code. In addition, in an effort to preserve the full amount of the Company’s net operating losses, and as required under the previously announced Plan Support Agreement with certain of the Company’s bondholders, the Company intends to seek an order from the Bankruptcy Court that would restrict, under certain circumstances, the trading of the Company’s common stock by entities that hold more than 4.5% of the Company’s common stock.

The Company anticipates that, as a consequence of the deregistration, the Company’s common stock will no longer be eligible for trading on the Over-the-Counter Bulletin Board. If the Company’s Chapter 11 Plan of Reorganization is approved in the form presently proposed, all of the Company’s currently outstanding shares will be cancelled. Following deregistration, the Company intends to communicate with the public through its website and periodic press releases.

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Article source: http://www.marketwire.com/press-release/molecular-insight-announces-intention-to-deregister-common-stock-otcqb-mipiq-1509523.htm