TFF Pharmaceuticals Announces It Will Wind Down Operations

Rhea-AI Summary

TFF Pharmaceuticals (Nasdaq: TFFP) announced the termination of its employees and the decision to wind down operations following a special board meeting. The board appointed Craig R. Jalbert, 63, as CEO, President, CFO, Treasurer, Secretary, and sole board member. Jalbert, a principal at Verdolino & Lowey, P.C. since 1987, specializes in distressed businesses and has extensive experience managing companies during wind-down phases.

Positive

• None.

Negative

• Complete cessation of business operations
• Termination of all employees
• Likely significant loss of shareholder value due to company wind-down
• Appointment of wind-down specialist indicates potential liquidation

Insights

Financial Restructuring Specialist

This announcement represents a terminal event for TFF Pharmaceuticals, signaling the complete cessation of operations and effective end of the company as a going concern. The appointment of Craig R. Jalbert, a specialist in distressed businesses and corporate wind-downs, clearly indicates the company is entering liquidation phase. For investors, this typically means:

• Immediate suspension of all development programs and business activities
• Liquidation of remaining assets to satisfy creditors
• Common shareholders likely to face total or near-total loss of investment
• Stock will likely be delisted from Nasdaq

The abrupt nature of this announcement and the immediate termination of employees suggests severe financial distress and the exhaustion of strategic alternatives. With a micro-cap status of just $5.9M, the company likely faced insurmountable challenges in raising additional capital to continue operations.

FORT WORTH, Texas, Nov. 14, 2024 (GLOBE NEWSWIRE) -- TFF Pharmaceuticals, Inc. (Nasdaq: TFFP) today announced that the Company has terminated its employees and will wind down its operations. This decision was made at a special meeting of the board of directors.

The board of directors appointed Craig R. Jalbert, age 63, as the Company’s CEO, President, Chief Financial Officer, Treasurer and Secretary, and sole member of the board. Mr. Jalbert has served as a principal of the Foxborough, Massachusetts accounting firm of Verdolino & Lowey, P.C. since 1987. For over 30 years he has focused his practice in distressed businesses and has served, and continues to serve, in the capacities of officer and director for numerous firms in their wind-down phases.

Forward Looking Statements

Statements made in this press release regarding matters that are not historical facts are “forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward‐looking statements. Such statements include, but are not limited to, statements regarding our plans to wind down our operations or other statements not of historical fact. Risks that could cause actual results to differ from those expressed in these forward‐looking statements include: the timing, progress and results of our planned wind down; general market conditions; and other risks described in TFF Pharmaceuticals’ filings with the Securities and Exchange Commission under the heading “Risk Factors”. All forward‐looking statements contained in this press release speak only as of the date on which they were made and are based on management’s assumptions and estimates as of such date. TFF Pharmaceuticals undertakes no obligation to update such statements to reflect events that occur or circumstances that exist after the date on which they were made except as required by law.

Company Contact:
Verdolino & Lowey, P.C.
124 Washington Street, Suite 101
Foxboro, MA. 02035
Phone - 508-543-1720

FAQ

Why is TFF Pharmaceuticals (TFFP) winding down operations?

TFF Pharmaceuticals announced it will wind down operations following a special board meeting, though specific reasons were not disclosed in the announcement.

What happened to TFF Pharmaceuticals (TFFP) employees in November 2023?

TFF Pharmaceuticals terminated all its employees as part of its decision to wind down operations.

Who was appointed as the new CEO of TFF Pharmaceuticals (TFFP) during the wind-down?

Craig R. Jalbert, a specialist in distressed businesses, was appointed as CEO, President, CFO, Treasurer, Secretary, and sole board member to oversee the wind-down process.