AriBio Holdings, formerly Solux, fell to 3,110 won on Tuesday in a second consecutive session of losses after its board formally terminated a planned absorption merger with unlisted drug developer AriBio. The stock dropped 805 won, or 20.56%, from the previous session, according to the Korea Exchange. The companies also canceled follow-up measures, including an extraordinary shareholders meeting scheduled for Jan. 6 next year. The proposed transaction had fueled expectations of a backdoor listing and more than doubled AriBio Holdings’ market value. Announced in August 2024, the merger was delayed for more than two years after financial regulators requested more than 10 rounds of corrections to the securities registration statement. The companies said the withdrawal was driven by appraisal rights, as the merged entity’s benchmark share price was significantly below the legally calculated appraisal-rights price. The original deal was intended to raise funding for a global Phase 3 trial of AR1001, an Alzheimer’s disease treatment, but AriBio has since completed 52 weeks of dosing. It plans to present detailed trial data at a conference in November. A May licensing agreement with China’s Fosun Pharma, worth up to $4.7 billion, or about 7 trillion won, brought AR1001’s cumulative deal value to roughly 10 trillion won. AriBio is reviewing listing alternatives, including an initial public offering, and the three companies plan a joint vision ceremony on Oct. 1.