PhaseBio Pharmaceuticals Inc., a publicly traded heart-disease drug developer, filed for chapter 11 bankruptcy protection weeks after being sued for breach of contract by a Blackstone Inc. portfolio company, WSJ Pro Bankruptcy reported. The chapter 11 filing follows the breakdown in a three-year partnership between PhaseBio and Blackstone’s SFJ Pharmaceuticals X Ltd. to develop Bentracimab, which helps prevent major bleeding for patients on a blood thinner. PhaseBio said in March there was substantial doubt it could continue as a going concern. After PhaseBio failed to improve on its cash position within six months, SFJ sued two weeks ago, accusing the Malvern, Pa., company of breaching the co-development agreement, according to a filing with the U.S. District Court of Eastern District of Pennsylvania. PhaseBio filed for chapter 11 on Sunday, pressured by the lawsuit. It said in its filings it secured $15 million in loans from JMB Capital Partners to see it through bankruptcy and that it has lined up a strategic buyer to acquire its lead program.
