9 Meters Biopharma Inc (NASDAQ:NMTR) shares plummeted after the company filed for Chapter 11 bankruptcy protection, according to a regulatory filing on Tuesday.

The company said that after considering all strategic alternatives, 9 Meters Biopharma, together with its subsidiaries, ceased operations and filed a voluntary petition for relief under provisions of Chapter 7 of Title 11 of the United States Code (the "Bankruptcy Code") in the United States Bankruptcy Court for the Eastern District of North Carolina Case No. 23-01992-5-PWM (the "Bankruptcy Filing").

The Bankruptcy Court will appoint a Chapter 7 trustee and will assume control over the assets and liabilities of the company, effectively eliminating the authority and powers of the Board of Directors of the Company and its executive officers to act on behalf of the company.

The company's assets will be liquidated, and claims will be paid under the Bankruptcy Code.

Concurrent with the Bankruptcy Filing, Bethany Sensenig, Interim Chief Executive Officer and Chief Financial Officer, tendered her resignation.

In March, the Board of 9 Meters approved a cost reduction plan to help extend the cash runway, reducing operating expenses and further aligning the company's workforce.

Price Action: NMTR shares are down 69.50% at $0.19 on the last check Tuesday.