MannKind Corp. (MNKD) shares nosedived more than 36% to $0.92 in early trade Tuesday, a record intraday low, after the company’s license agreement with French drugmaker Sanofi (SNY) was terminated. The company’s trading volume jumped on the news with the issue currently trading more than 20 million shares, compared to the average daily volume of 6.5 million.
The Valencia, Calif.-based biopharmaceutical company announced on Tuesday that Sanofi ended its collaboration on the development and sale of Afrezza, its inhaled diabetes medicine that may help adult patients with blood sugar control.
“The product never met even modest expectations, and we do not project Afrezza reaching even the lowest patient levels anticipated,” Sanofi said in an e-mailed statement to Bloomberg.
Shares of MannKind, a $440.49 million market cap company that is currently short on cash and deeply in debt, are down 74.29% year-over-year and off about 82% from their Feb. 10, 2015, $7.88/52-week high.