Shuttle Pharmaceuticals Holdings Inc - Timothy Lorber Resigns As Cfo Of Shuttle Pharmaceuticals - Sec Filing

By Katherine Hamilton

Shuttle Pharmaceuticals is discontinuing its clinical trials of ropidoxuridine, a drug designed to make cancer cells more susceptible to radiation therapy.

Shares were down 24% to $1.40 in after-hours trading.

The Gaithersburg, Md., pharmaceutical company is discontinuing the trials because its agreement with Theradex Systems ended last month, it said Friday.

Shuttle plans to end enrollment and initiate wind-down activities for the clinical trials, with the full completion of the wind-down expected to occur as soon as practicable while remaining compliant with regulations, the company said.

Shuttle expects to incur extra expenses related to the wind-down, but said it is still assessing and estimating those costs, it said. It expects the charges will be recorded in the fourth quarter of this fiscal year.

Shuttle received a notice from Theradex in October that ended their 2018 agreement to work together, it disclosed at that time.

Shuttle said Friday that it will pay a partial payment of $300,000 to Theradex as full and final payment of claims relating to the debt or obligation previously owed to Theradex, which totaled about $557,000.

Shuttle estimates that, after the payments under the settlement agreement with Theradex, it will still owe about $750,000 under five separate research-site agreements with various hospitals.

Write to Katherine Hamilton at katherine.hamilton@wsj.com