California Biotechnology Inc. said it will take a one-time, $6million charge to earnings in the fourth quarter ending Dec. 31as a result of its acquisition of the minority interest in itsMetabolic Biosystems Inc. subsidiary.
The charge will result in an additional loss of 30 cents to 40cents per share for the quarter. Cal Bio hasn't stated itsestimated loss for the quarter.
Cal Bio purchased the outstanding 20 percent interest in MetaBio for 330,000 shares of Cal Bio common stock and certainadditional contingent stock payments.
Meta Bio's lead product is insulinotropin, a protein that is inPhase II clinical trials to treat Type II diabetes.
Shares of Mountain View, Calif.-based Cal Bio (NASDAQ:CBIO)closed Tuesday at $19, up 88 cents.
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