Depomed Inc. – Nasdaq: DEPO
A New York Post article is sending shares of Depomed Inc. higher in pre-market trading. Depomed Inc. trades on the Nasdaq under ticker DEPO. The article claims that famed Wall St buy-out firm KKR is interested in purchasing Depomed. Previous reports had put any buyout offer would be around $25 a share. At 9:00 AM EST trading for DEPO was under $20.
Newark, CA-based Depomed had previously rejected attempts to purchase the company before finally putting itself out for sale to the market. The moves to reject potential suitors brought scorn for Depomed’s board from shareholders who threatened to remove several board members.
Depomed Inc. specializes in the production of painkillers. Cambria is a drug that addresses migraine headaches but Nucynta, an opiod that carries addiction risks, is their largest source of revenue – $72 million in the last quarter. In addition to its ability to develop and commercialize new drugs, Depomed also has successfully developed and licensed its unique drug-delivery technology, Acuform®. This patented oral-delivery technology allows for the targeted, extended release of pharmaceutical compounds into the upper gastrointestinal tract.
Eight firms follow Depomed Inc. Shares of DEPO have been rated by five analysts as a “Strong Buy”; two as a “Hold”; and one rates it a “Sell”. Revenues and EPS both suffered in 2015 from their 2014 highs.
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|Last Price a/o 9:00 AM EST||$19.87|
|Average Volume||1.68 million|
|Market Cap||1.11 Billion|
|Shares Outstanding||61.42 million|
|Share Float||60.98 million|
|Short Interest Ratio||7.46|