Graymark, Orexigen: Volume Movers
BOSTON (TheStreet) -- Graymark Healthcare (GRMH) was one of several stocks trading below $10 poised to move on above-average volume Thursday as shares surged on the announcement of an agreement between the company and Walgreen (WAG).
Graymark Healthcare said late Wednesday it will sell the assets of 18 ApothecaryRx pharmacies to Walgreen. Terms of the agreement were not disclosed, although the companies said the transaction is expected to close in the fourth quarter. Stanton Nelson, Chairman and CEO of Graymark, said the divestiture will help the company focus on its sleep apnea business.
Shares of Graymark Healthcare jumped by 25 cents, or 22.9%, to $1.34 in Wednesday's after-market session. The average daily share volume for Graymark is 9,000.
Elsewhere, Orexigen Therapeutics (OREX) shares rallied by $1.02, or 22.2%, to $5.61 in the premarket session after the company entered into a partnership with Takeda Pharmaceutical to commercialize obesity drug Contrave in North America. Orexigen will receive an upfront cash payment of $50 mln from Takeda for exclusive marketing rights in the U.S., Mexico and Canada. Orexigen retains the right to co-promote with Takeda in the U.S. and will be eligible to receive regulatory and sales-based milestone payments of over $1 billion. The average daily share volume for Orexigen is 1.12 million.TheStreet's Adam Feuerstein notes that Contrave is similar to Vivus' (VVUS) Qnexa in that "it's a two-drug combination designed to help patients lose weight." Feuerstein adds that "none of the large U.S.-based pharmaceutical companies have been willing to sign obesity drug deals." Cardiome Pharma (CRME) climbed by 81 cents, or 13.1%, to $7 in Wednesday's late trading session after the company and partner Merck (MRK) received a marketing approval related to an intravenous formulation of their Brinavess brand vernakalant cardiovascular drug in the European Union, Iceland and Norway. The average daily share volume for Cardiome is 306,000. K-Sea Transportation Partners (KSP) may trade on increased volume after the company said it would raise up to $100 million by selling about 18.4 million convertible preferred units to KA First Reserve. Proceeds from the preferred unit sale will be used to repay debt, the company said. K-Sea also amended its credit facility to reduce lenders' commitments to $115 million from $175 million. In addition, K-Sea posted a fiscal fourth-quarter adjusted loss of 37 cents a share, which was wider than the 33-cent-a-share loss analysts had predicted, according to Thomson Reuters. Revenue in the quarter fell by 8% from a year ago to $66.7 million, although that was above the consensus target of $65.9 million. On Tuesday, K-Sea postponed its fiscal fourth-quarter earnings conference call as the tugboat and barge fleet operator worked with its lenders to extend a waiver period that expired Tuesday. The average daily share volume for K-Sea Transportation is 88,000. -- Written by Robert Holmes in Boston.
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