Weekly Movers: Bind Therapeutics, Sarepta, Idexx…
pharmafile | May 9, 2016 | Feature | Manufacturing and Production, Medical Communications, Research and Development, Sales and Marketing |
Pfizer (NYSE: PFE) and Amgen (Nasdaq: AMGN) are rumoured to be considering a bid for Medivation just as French drug firm Sanofi (Euronext: SAN) cranked up the heat on the US drugmaker to accept its 9.6 billion cash offer.
Adding to the excitement in the world of pharma this week were earnings announcements a key driver of market movements followed by regulatory actions.
Here’s a quick look at some of the biggest movers of the week:
Bind Therapeutics (Nasdaq: BIND) lost nearly two-thirds of its market value after the firm filed a voluntary petition under Chapter 11 of the Bankruptcy Code.
The biotech firm filed for bankruptcy protection after defaulting on its debt. The company is looking to utilise the chapter 11 code to restructure its operations. A restructuring may include fresh capital raising, looking for new partnerships and divesting some of its assets.
Shares in Sarepta Therapeutics (Nasdaq: SRPT) soared over 25% after the company received “Outperform” rating from a broking firm.
Oppenheimer also raised it price target on the company to $60 per share following the advisory committee discussions saying the analysis supports Sarepta’s case for seeking accelerated approval for its Duchenne’s muscular dystrophy (DMD) drug, eteplirsen.
However, earlier in April a US advisory committee concluded Sarepta’s trial drug for the muscle wasting condition has not proved effective.
Idexx Laboratories (Nasdaq: IDXX) gained over a percent after reporting first quarter earnings ahead of estimates.
The company reported earnings per share of $0.51 compared with $0.49 a year ago.
Canadian drugmaker Valeant (NYSE: VRX) saw the shares dip over 2% after key investor Bill Ackman ruled out sale of its most important assets but hinted at possible price cuts and a name change in future.
Ackman’s firm owns 9% of Valeant, whose chequered recent history was under the spotlight over the past week as their outgoing chief executive expressed “regret” for the company’s practices at a US Senate hearing.
Bio-Techne (Nasdaq: TECH) fell 1.3% despite reporting third-quarter earnings ahead of estimates.
The company posted earnings per share of $1.01 up from $0.88 a year ago.
Endo International (Nasdaq: ENDP) stock plunged nearly 40% after the company cut is full-year outlook.
The company said it is restructuring its generics product and R&D portfolio, as well as its manufacturing facility network, which is expected to result in savings of about $60 million in 2017. The restructuring will also see the closure of the company’s facility in North Carolina, and job cuts at the Alabama facility.
Endo now sees total full-year revenue to be between $3.87 billion and $4.03 billion versus $4.32 billion and $4.52 billion forecast earlier. The company sees adjusted earnings per share of $4.50 to $4.80 down from $5.85 to $6.20.
Shares in KemPharm (Nasdaq: KMPH) more than halved in pre-market trading after the US Food and Drug Administration advisory panel did not back abuse deterrent labelling for its trial pain drug.
The company’s trial abuse-deterrent product, Apadaz, to treat short-term management of acute pain, is being reviewed by the FDA. The final decision is set for June 9, 2016.
The FDA committee members voted 16 to 4 backing the approval of Apadaz as a pankiller. The panel, however, voted 18 to 2 recommending against labeling saying that the drug was designed to prevent its abuse.
Anjali Shukla
