Talks have broken off regarding an acquisition of Scripps Research Institute of La Jolla by USC or a merger or partnership between the two.

The announcement came amid reports of increasing opposition from Scripps faculty to the terms of a proposed deal. That opposition built to a call this week for the ouster of Scripps Chief Executive Michael Marletta, according to trade publication Chemical and Engineering News.

Marletta and board chairman Richard Gephardt, former majority leader of the U.S. House Representatives, issued a statement Wednesday saying the talks with USC had been terminated and that the institution was beginning to conduct a strategic review of its options.

“The current nonbinding letter of intent on discussions about a broad partnership with the University of Southern California has been terminated by mutual consent of both parties,” Gephardt and Marletta said. “We appreciate USC’s spirit of collaboration and look forward to continuing joint research projects among our scientists.”

Scripps, with 262 faculty and researchers at campuses in La Jolla and Jupiter, Fla., has come under increasing financial strain amid losses of federal grant money, especially from the National Institutes of Health.

Scripps and USC issued a joint statement June 16 saying they were in discussions about a potential acquisition by USC, or a merger or partnership between the two institutions.

According to later reports, USC was offering to pay $15 million over 40 years to absorb the Scripps faculty, but 10 department chairs sent a letter to Marletta and Gephardt saying those terms were unacceptable.