Biotech Mailbag: NeurogesX Patchy at Best

---

Sammy D. writes, "Did you see what Introgen Therapeutics(INGN Quote) pulled the day before Thanksgiving?"

Ha! Yes, I did. Introgen's three stooges -- CEO David Nance, regulatory chief Max Talbott and head science guy Bob Sobol -- all resigned. Another round of layoffs was implemented, leaving the company with just 15 employees focused mainly on becoming a contract drug manufacturer even though the cash is running out.

And to top it all off, Introgen announced these latest moves in a press release on the afternoon of Wed., Nov. 26, right before the start of the Thanksgiving break. Classic.

More hilarity came late Wednesday, when Introgen filed for voluntary Chapter 11 bankruptcy. The company seeks to reorganize, possibly sell off some assets and emerge from bankruptcy protection next year.

From an investor perspective, Introgen has been done for a long time, as any reader of mine knows. The company's gene therapy cancer drug Advexin will never see the light of day. If there's a bright side, it's that Nance and his crew are gone. These guys were some of the worst bamboozlers in the biotech world. Let's hope they stay gone for good. If any of them do happen to pop back up at another drug or biotech firm, that company becomes an instant short-sale candidate.

---

AMAG Pharmaceuticals(AMAG Quote) is on the mind of Quinn G.

"In your article about the FDA news on AMAG, you mentioned that there are maybe some profits taken following the news. However, the stock keeps falling, and the volume going up. Do you think some insiders are selling? I'd really appreciate if you could comment on this."

Let's see, AMAG shares jumped from $18 to $37 on Nov. 13, the day that the FDA granted a two-month review cycle for the company's iron replacement therapy ferumoxytol. Then the stock fell to $24 before running up again to $33.

Nice volatility.

That's this market in a nutshell. Honestly, I can't look at the daily gyrations of this stock anymore. I get nauseated when I do. Instead, I keep my eyes firmly planted on Dec. 30, when I expect AMAG to announce full approval of ferumoxytol.