On October 11, 2012, the Board of Directors of Pharmos Corp. determined that the company's recent efforts to partner levotofisopam for the treatment of gout, to find a suitable candidate to acquire the company or to raise funds to continue active operations have not been successful, and therefore took action to cease day to day operations, effective immediately. In connection with such decision by the Board, the company gave advance written notice to its President and Chief Financial Officer, Colin Neill, of the termination of his employment, as required by his employment agreement.

All of the members of the Board of Directors of the company Anthony Evnin, Robert Johnston, Charles Newhall and Steven Leventer submitted their resignations, effective as of the close of business on October 11, 2012.