Monica Gray

Monica has an undergraduate degree in Accounting and an MBA she earned - with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.
Cartesian Inc (NASDAQ:CRTN)

Delisting Cartesian Inc (NASDAQ:CRTN) Stock Booms!

Cartesian Inc (NASDAQ:CRTN)

Cartesian Inc (NASDAQ:CRTN) stock nearly doubled on Friday even though there was no news released by the company or reported by any of the major news services. CRTN shares closed at $0.26 on Thursday then gapped up to open on Friday at $0.29, hit an inter-day high about one hour into trading at $1.00, and closed the session at $0.51.

The company will be announcing their Q3 2017 financial results after the market closes on Monday, November 13, 2017. A conference call to explain the results will follow.

Cartesian Inc (NASDAQ:CRTN) provides global consulting services, and managed solutions, to companies in global communications, technology and digital media. Cartesian services include strategic advice, management consulting, and managed solutions. The company has offices in Boston, Kansas City, London, New York, and Philadelphia.

CRTN Delists

On November 2, 2017, Cartesian Inc (NASDAQ:CRTN) notified the Nasdaq Stock Market that it would voluntarily delist its common stock at the close of business on November 13, 2017. Cartesian is currently taking the steps necessary to have its common stock begin trading in the OTCQB Market, operated by OTC Markets Group.

Cartesian’s Board of Directors approved the voluntary withdrawal of the Company’s common stock from listing on the NCM as a result of numerous factors, including its assessment of the probability of the Company’s regaining compliance with the Rule and complying with certain other Nasdaq quantitative requirement.

 

CRTN Stock Performance

Q2 2017 revenues decreased by 31% to $13.0 million from $18.9 million for the same period in 2016. Q2 2017 net loss was (-$1.4) million, or (-$0.16) per diluted share, compared to a net loss of (-$12.9) million, or (-$1.49) per diluted share in Q2 2016.

Follow the company’s Q2 earnings release, CRTN stock traded, mostly in a range between $0.50 and $0.70 through the end of October. Then at the beginning of November, CRTN shares dived below $0.30 until the massive upward move last Friday. Year-to-date, CRTN stock is down 44%.

Sales increased from 2012 when the company reported sales of $53 million, until 215 when the company posted sales of $78.3 million. Then, in 2016, sales decreased to a figure of $71.7 million.

Earnings have been worse. They have not produced positive earnings in the past five years. The per share loss expanded from 2014 (-$0.18) to a figure of (-$1.81) in 2016.

No investment analysts follow the firm – likely due to the fact that its market capitalization is below $5 million.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $CRTN and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

VIVUS, Inc. (NASDAQ:VVUS)

OHR Pharmaceutical Inc (NASDAQ:OHRP) Stock Trying to Rebound

OHR Pharmaceutical Inc (NASDAQ:OHRP)

Shares of OHR Pharmaceutical Inc (NASDAQ:OHRP) closed higher by over 12% today on a volume figure that was over five times the listed average. Despite a lack of news concerning the pharmaceutical company, traders bid the company’s shares higher throughout the day but sellers stepped in with two hours left in the trading day and started to pressure the stock whenever it got over $0.70. OHRP shares ended the day at $0.69.

OHR Pharmaceutical Inc (NASDAQ:OHRP)

OHR Pharmaceutical, Inc. (NasdaqCM:OHRP) develops therapeutics and delivery technologies for the treatment of ocular diseases. Their pre-clinical pipeline is focused on the development of sustained release therapeutics for ocular diseases utilizing their patented microfabrication platform technology. OHR Pharmaceutical Inc (NASDAQ:OHRP) currently has several active programs evaluating molecules and approaches for the treatment of primary open angle glaucoma, steroid-induced glaucoma, ocular allergies, and retinal diseases. The U.S. Food and Drug Administration has awarded OHR’s Squalamine Fast Track Designation for the potential treatment of wet AMD.

OHRP Stock History

OHR Pharmaceutical Inc (NASDAQ:OHRP) shares hit their peak in 2014 when OHRP was trading, albeit briefly, just below $20 per share. However, shares are now struggling to stay above the $1 threshold which not only is psychologically important, but also triggers a NASDAQ compliance rule.

In 2012 the company reported a per share loss of (-$0.10). That loss expanded each year and in 2016 the per share loss was reported at (-$0.82). A lack of earnings is not unusual for a biotechnology firm that typically has a multi-year runway to revenues due to FDA approval requirements. But the company was also diluting shareholder equity during this time. In 2012 the number of outstanding shares stood at 14.24 million. That figure expanded every year and for 2016 the company listed the number of outstanding shares at 31.35 million.

Accordingly, shares have lost nearly 60% of their value year-to-date, and nearly 80% for the year. While shares are well above their 52-week low of $0.56, they are far away from their 52-week high of $3.10, and even further away from analysts’ consensus, one-year price target of $10.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $OHRP and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Cerus Corporation (NASDAQ:CERS)

Cerus Corporation (NASDAQ:CERS) Beats Street Expectations

Cerus Corporation (NASDAQ:CERS)

Cerus Corporation (NASDAQ:CERS) stock has broken through a resistance trend line and is up a whopping 20.5% after the company reported losses that beat street expectations. reported a loss of $13.4 million in its third quarter. Concord, CA-based Cerus Corporation reported a (-$0.12) per share loss against the (-$0.15) loss analysts were expecting.

Cerus Corporation (NASDAQ:CERS)

Cerus Corporation (NASDAQ:CERS) is a biomedical company that develops products to improve the safety profile of blood transfusions. The INTERCEPT Blood System is designed to reduce the risk of transfusion-transmitted infections. Cerus currently markets and sells the INTERCEPT Blood System globally.

Cerus Q3 Earnings

Operating losses from Q3 2017 were $12.4 million, compared to $14.3 million for the same period in 2016, and $46.7 million compared to $46.3 million for the nine months ended September 30, 2017 and September 30, 2016, respectively.

Net loss for Q3 2017 was $13.4 million, or (-$0.12) per diluted share, compared to a net loss of (-$14.4) million, or (-$0.14) per diluted share, for the third quarter of 2016. Net loss for the first nine months of 2017 was (-$49.1) million, or (-$0.46) per diluted share, compared to a net loss of (-$49.4) million, or (-$0.49) per diluted share, for the same period of 2016.

CERS Stock

Three investment firms follow Cerus Corporation (NASDAQ:CERS). All three assign CERS stock a rating of “Strong Buy”. The analysts’ consensus, one-year target price is $6.33.

In mid-2016, CERS shares were briefly trading over $7.00, but then started a slow, steady slide until they hit their 52-week low of $1.93 in May of 2017. Accordingly, the stock has lost about 33% year-to-date. However shares have gained over 16% during the past quarter. The recent gains have been reflected in the company’s Relative Strength Index score of 73 – a number above 70 is usually taken to signal an “overbought” condition.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $CERS and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Marathon Patent Group Inc. (NASDAQ:MARA)

Marathon Patent Group Inc. (NASDAQ:MARA) Drops After Acquiring Global Bit Ventures

Marathon Patent Group Inc. (NASDAQ:MARA)

Marathon Patent Group Inc. (NASDAQ:MARA) fell 19% after announcing a definitive agreement to acquire 100% ownership of Global Bit Ventures. The acquisition will expand the company’s operations into the cryptocurrency business.

Marathon Patent Group Inc. (NASDAQ:MARA)

Global Bit Venture Acquisition

Global Bit Ventures has developed a robust infrastructure that Marathon Patent Group Inc. (NASDAQ:MARA) plans to take advantage of, in its pursuit of growth opportunities around digital currencies. According to Chief Executive Officer, Doug Croxall, the acquisition underscores the company’s commitment to enhancing shareholders value by pursuing alternative business directions.

Prior to the acquisition of Global Bit Ventures, Marathon Patent Group Inc. (NASDAQ:MARA) was focused on the business of acquiring patents and patent rights from owners and other ventures. The company generates a good chunk of its earnings from monetization of the patent portfolio through license discussions. However, with the acquisition of GBV, its revenue stream should receive a boost.

“We believe the acquisition of Global Bit Ventures will take advantage of an ongoing revolution in digital transactions conducted on blockchain as we see increasing adoption and proliferation of blockchain protocols in our everyday lives,” said Mr. Croxall.

GBV boasts of a technology that powers and secures blockchain by operating custom hardware and software. GBV currently owns 250GH/s of GPU mining servers and plans to add 14PH/s of ASIC servers to further strengthen its prospects in the merging industry. The company’s director, Charles Allen, expects the merger to position the company for rapid revenue growth in the years to come.

Marathon Patent Group Inc. (NASDAQ:MARA) has been trading in a downtrend for the better part of the year. Investor’s sentiments has hit all-time lows at the back of a strong sell-off wave. The stock is down by more than 70% for the year as it continues to trade near its 52-week low of $1.49 a share.

Reverse Stock Split

Separately, Marathon Patent Group Inc. (NASDAQ:MARA) has initiated a four-for-one reverse-split for its outstanding common stock. The reverse split will reduce the company’s common stock from about 32.4 million shares to 8.6 million shares. The company is hoping the split will shore up the stock price thereby bring the company into compliance with the NASDAQ Capital Market minimum average closing price of $1 a share.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $MARA and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Shares Rocket on Ocera Therapeutics Inc (NASDAQ:OCRX) Buyout

Ocera Therapeutics Inc (NASDAQ:OCRX)

Ocera Therapeutics Inc (NASDAQ:OCRX) shares rocketed over 65% higher today after the company announced it is being acquired by UK-based Mallinckrodt plc for $1.52 per share. The news sent investors scrambling to buy shares in the new company and share volume is on pace to register a figure over 120 times the normal daily average.

Ocera Therapeutics Inc (NASDAQ:OCRX)

Why Ocera Therapeutics is Attractive

Ocera Therapeutics Inc (NASDAQ:OCRX) is a clinical stage biopharmaceutical company that developing OCR-002 (ornithine phenylacetate) in both intravenous (IV) and oral formulations. OCR-002 is an ammonia scavenger and has been granted Orphan Drug designation (ODD) and Fast Track status by the U.S. Food and Drug Administration (FDA) for the treatment of hyperammonemia and resultant hepatic encephalopathy (HE) in patients with acute liver failure and acute-on-chronic liver disease.

Although the STOP-HE study7 did not meet its primary endpoint, it achieved secondary endpoints that validated OCR-002 as a potent ammonia scavenger. In a subsequent analysis of the data, it was observed that the degree of ammonia reduction in patients correlated strongly with clinical improvement. As the response rate also appeared to increase proportionally to dose level, this suggests that some patients in the Phase 2 trial may have been under-dosed. The IV formulation of OCR-002, if approved, is expected to provide rapid reduction in symptoms of acute HE, and potentially reduce hospitalization stay. A subset of patients continues to have HE symptoms after discharge. OCR-002’s oral formulation, if approved, is expected to provide post-discharge continuity of care for the HE patient, reducing the risk of recurrent HE episodes and rehospitalization.

The Purchaser

Mallinckrodt plc, headquartered in Staines-upon-Thames, England is a global business that develops, manufactures, markets and distributes specialty pharmaceutical products and therapies. Areas of focus include autoimmune and rare diseases in specialty areas like neurology, rheumatology, nephrology, pulmonology and ophthalmology; immunotherapy and neonatal respiratory critical care therapies; and analgesics and hemostasis products. Mallinckrodt’s core strengths include the acquisition and management of highly regulated raw materials and specialized chemistry, formulation and manufacturing capabilities.

A subsidiary of Mallinckrodt plc will commence a cash tender offer to purchase all of Ocera Therapeutics Inc (NASDAQ:OCRX) outstanding shares for $1.52 per share (approximately $42 million), plus one Contingent Value Right to receive one or more payments in cash of up to $2.58 per share (up to approximately $75 million) based on the successful completion of certain development and sales milestones. Mallinckrodt plc expects dilution from the acquisition to adjusted diluted earnings per share by $0.25 to $0.35 annually beginning in 2018.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $OCRX and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Eleven Biotherapeutics Inc. (NASDAQ:EBIO) Rattles Shareholders

Eleven Biotherapeutics Inc. (NASDAQ:EBIO)

Eleven Biotherapeutics Inc. (NASDAQ:EBIO) fell 22.11% after announcing the pricing of an underwritten public offering of 5.5 million shares of common stock. The late-stage clinical oncology company is also offering pre-funded warrants for the purchase of an aggregate 4.5 million shares of common stock as well as common warrants for the purchase of up to 10 million shares.

Eleven Biotherapeutics Inc. (NASDAQ:EBIO)

Public Offering

The company is offering each share of common stock or pre-funded warrant at a combined effective price of $0.80 a share. Eleven Biotherapeutics Inc. (NASDAQ:EBIO) has also granted underwriters a 30-day option to purchase an addition 1.5 million shares of common stock at a price of $0.79 a share

H.C Wainwright & Co., LLC is acting as the book-running manager for the offering. The offering should close on or about November 3, 2017, subject to customary closing conditions

Eleven Biotherapeutics Inc. (NASDAQ:EBIO) expects gross proceeds of approximately $8 million prior to the deduction of underwriting discounts and commissions among other offering expenses. The company plans to use the net proceeds to finance clinical development of its lead product candidate Vicinium.

The late-stage clinical oncology company has already completed manufacturing of all the Vicinium necessary for its Phase 3 registration trial. The trial seeks to evaluate the candidate drug’s ability to treat non-muscle invasive bladder cancer

Eleven Biotherapeutics Inc. (NASDAQ:EBIO) continues to trade lower for the better part of the year. Investors’ confidence in the stock has taken a hit amidst stock dilution concerns and the fact that the company could be sinking further into debt. The stock has shed more than 60% in market value since the start of the year.

CFO Appointment

Separately, Eleven Biotherapeutics Inc. (NASDAQ:EBIO) has confirmed the appointment of Richard F. Fitzgerald as the Interim Chief Financial Officer. He replaces John McCabe who stepped down from the post. Fitzgerald joins the company with over two decades of financial and strategic leadership.

“We are pleased to welcome Richard to the management team at eleven. He brings significant experience in capital raising and strategic leadership to the company, as we look forward to top-line three-month data from our Phase 3 trial of our lead drug candidate Vicinium in mid-2018,” said Stephen Hurly, Chief Executive Officer of Eleven Biotherapeutics Inc. (NASDAQ:EBIO).

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $EBIO and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Idera Pharmaceuticals Inc (NASDAQ:IDRA) Tries to Rebound

Idera Pharmaceuticals Inc (NASDAQ:IDRA)

Idera Pharmaceuticals Inc (NASDAQ:IDRA) stock failed to hold early gains and end the trading session higher for the fourth day in a row. IDRA shares ended at $1.56 after gapping up to open the session at $1.72, which was also the high for the day. Volume was heavy – over three times the 30-day, daily average.

Idera Pharmaceuticals Inc (NASDAQ:IDRA)

IDRA stock had plummeted on October 26, after Idera Pharmaceuticals Inc (NASDAQ:IDRA) announced pricing a share offering at $1.50 – the previous close for IDRA shares was $2.03. The offering was for 33,333,334 shares of its common stock with a 30-day option to for the underwriters to purchase up to an additional 5,000,000 shares of common stock.

J.P. Morgan, Barclays, and Goldman Sachs & Co. LLC are the joint bookrunning managers on the $46.8 million transaction. H.C. Wainwright & Co. is acting as a co-manager on the transaction. Idera Pharmaceuticals Inc (NASDAQ:IDRA) intends to use the net proceeds to advance the development of IMO-2125 in its immuno-oncology program, for working capital, and for other general corporate expenses.

About Idera

Idera Pharmaceuticals Inc (NASDAQ:IDRA)’s development program focuses on boosting the immune system to play a more powerful role in fighting cancer, and ultimately increase the number of people who can benefit from immunotherapy. Idera invests in research and development, and works with investigators and partners to address the unmet needs of patients who are suffering from rare, life-threatening diseases.

IDRA Stock Performance

JP Morgan, Wedbush Securities, Piper Jaffray, and Baird all follow Idera Pharmaceuticals Inc (NASDAQ:IDRA) and rate the shares as a “Strong Buy”. The listed consensus one-year price target is $5.75.

Year-to-date ODRA shares are up only 4% – far below the sector’s performance. For the year, IDRA stock is up 0.65% but over the past week, after the company priced the offering at $1.50, shares have lost over 28% of their value.

Idera Pharmaceuticals Inc (NASDAQ:IDRA) has posted per share losses since 2012 (-$0.81) but the trend has been favorable and the loss for 2016 was just (-$0.30). Last year the company posted their first significant sales figure of $16.2 million. The downside for investors has been the annual dilution as outstanding shares have increased every year since 2012 when the number of outstanding shares was 27.64 million. But by the end of 2016, and prior to the most recent share offering, over 127 million shares were listed as outstanding.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $IDRA and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Eleven Biotherapeutics Inc (NASDAQ:EBIO)

Eleven Biotherapeutics Inc (NASDAQ:EBIO) Hit New Low

Eleven Biotherapeutics Inc (NASDAQ:EBIO)

Eleven Biotherapeutics Inc (NASDAQ:EBIO) shares hit a new 52-week low of $0.90 on a volume figure of 1.2 million shares – almost four times the posted 30-day, daily average. EBIO shares have been on a steady slide since mid-September. In the past month, EBIO shareholders have lost over 37%.

Eleven Biotherapeutics Inc (NASDAQ:EBIO)

Eleven Biotherapeutics Inc (NASDAQ:EBIO) is a late-stage, clinical oncology company developing novel product candidates based upon their proprietary targeted protein therapeutics (TPTs) platform. Eleven Biotherapeutics TPTs incorporate a tumor-targeting antibody fragment and a protein cytotoxic payload into a single protein molecule to achieve focused tumor cell killing.

On September 22, 2017 EBIO shares closed at $1.60 – around 60% above today’s closing price. That day Eleven Biotherapeutics Inc (NASDAQ:EBIO) announced that it had completed the manufacturing of all Vicinium for its ongoing Phase 3 registration trial in patients with non-muscle invasive bladder cancer (NMIBC), and for its Cooperative Research and Development Agreement (CRADA) with the National Cancer Institute. Accordingly, Eleven announced ending its large-scale manufacturing activities and redirection of resources towards the completion of its Phase 3 trial and preparing for discussions with the U.S. Food and Drug Administration (FDA) regardingthe submission of a Biologics License Application (BLA) for Vicinium in patients with NMIBC. This change included an impending reduction of headcount.

Eleven Biotherapeutics Performance

In 2012, EBIO shareholders experienced a per share loss of (-$13.91) that was followed in 2013 by a loss of (-$16.19). But in 2014, the per share loss shrank to ($-2.37), then shrank again in 2015. The trend continued and in 2016 the company posted a per share profit of ($0.09).

Sales have been lackluster and registered just $1 million for 2015 but Eleven Biotherapeutics posted sales of $30 million for 2016. Unfortunately, the number of outstanding shares has been increasing and diluting shareholder equity. In 2013 the number of outstanding shares was just 1.35 million. That number was reported at 21.08 million for 2016.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $EBIO and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Immune Design Corp (NASDAQ:IMDZ)

Immune Design Corp (NASDAQ:IMDZ) Bounces off Lows

Immune Design Corp (NASDAQ:IMDZ)

Shares of Immune Design Corp (NASDAQ:IMDZ) gained 12.2% ahead of their much-awaited financial results for the third quarter, ended September 30, 2017. The clinical stage immunotherapy company will release the results on November 1, 2017, after the close of the U.S. markets.

Immune Design Corp (NASDAQ:IMDZ)

Earnings Expectations

Investor confidence in the stock has taken a hit this month as seen by the stock shedding more than 50% in its market value. The stock has come under pressure following the pricing of an underwritten public offering of 19.5 million shares at a price of $4.10 a share. Investors pushed the stock lower after the company offered the shares at a discount to the market price.

Last quarter, the immunotherapy company reported a positive earnings surprise of 16.92% outpacing the consensus estimates of average earnings beat of 12.94%. A similar performance with Q3 financial results could result in the stock bouncing back from current trading levels.

Increased implied volatility on Immune Design Corp (NASDAQ:IMDZ) November options is already fuelling suggestions of a potential big move in either direction. Analysts at Zack’s research currently rate the stock as a ‘hold’.

Immune Design Pipeline

Progress on the company’s pipeline candidates should have an impact on the stock’s direction of trade going forward. The company’s lead candidate drugs are CMB305 for the treatment of solid tumor and G100 for the treatment of merkel cell carcinoma.

Immune Design is evaluating CMB305 both as a monotherapy and in combination with Roche Holding Ltd. (ADR)(OTCMKTS:RHHBY) Tecentriq. G100 is being developed on the GLAAS platform in collaboration with Merck for the treatment of patients with non-Hodgkin’s lymphoma (NHL).

The European Medicine Agency has granted G100 Orphan Drug Designation for the treatment of NHL. The designation is expected to accelerate its development while also guaranteeing market exclusivity for up to 10 years.

Immune Design Corp (NASDAQ:IMDZ) has the financial power to accelerate the development of the two candidate drugs given the pricing of the $80 million public offering.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $IMDZ and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Aviragen Therapeutics Inc (NASDAQ:AVIR)

Aviragen Therapeutics Inc (NASDAQ:AVIR) Shares Drop on Merger Announcment

Aviragen Therapeutics Inc (NASDAQ:AVIR)

Shares of Aviragen Therapeutics Inc (NASDAQ:AVIR) are having their most volatile day in months after the biotechnology company announced that they were merging with Vaxart, Inc., a privately-held, clinical-stage company focused on developing oral recombinant vaccines. The merger will result in a combined company, Vaxart, Inc., focused on developing orally-delivered therapeutics and prophylactics to address a variety of viral infections.

Aviragen Therapeutics Inc (NASDAQ:AVIR)

Wouter Latour, M.D., Chief Executive Officer of Vaxart stated “This transaction gives us the opportunity to build on the positive Phase 2 challenge study results we announced recently for our influenza oral tablet vaccine, as well as the excellent results we obtained in the safety and immunogenicity studies with our norovirus vaccine.  Additionally, it will provide us access to Aviragen’s antiviral assets, including their BTA074 Phase 2 program for the treatment of condyloma caused by HPV, which is on track to complete enrollment this quarter and to report top-line safety and efficacy data in the second quarter of 2018.”

Deal Details

The exchange ratio was determined by assigning $60 million in value to Aviragen Therapeutics Inc (NASDAQ:AVIR) for its financial and clinical assets and $90 million in value for Vaxart’s assets. On a pro forma basis, after giving effect to the number of shares of Aviragen common stock issued in the merger, Vaxart’s securityholders will own approximately 60% of the combined company and Aviragen Therapeutics Inc (NASDAQ:AVIR) shareholders will own approximately 40% of the combined company.

AVIR Stock Review

AVIR shares ended Friday at $0.83 then gapped up this morning to open at $0.96 on the merger news. The shares went on to hit an inter-day high of $1.08 before sellers came in a pushed the price down to a low of $0.67. Currently shares are trading around the $0.70 handle.

AVIR shares have done well since they hit a 52-week low early this past summer at $0.43. For the month they are up over 27% and up for the quarter by a whopping 50%.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $AVIR and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.