Cancer-drug developer Celgene (CELG) - Get Report slipped after the company said it would issue up to 20 million shares as a result of Standard and Poor's decision to include the stock in the S&P 500.
The company says the offering will partially meet the anticipated demand by index funds who want to own the stock after its addition to the index. Among other things, proceeds from the offering will be used for working capital, capital expenditures, possible future licenses and strategic investments. Shares fell 3.5% to $51.04.
dropped after the company said it wouldn't release full third-quarter financial data until it completes an investigation of its stock-options practices.
The company also cancelled its third-quarter dividend, which had been 7.75 cents a share, because of the probe. The review will force Valeant to delay its filing of a 10-Q with the
Securities and Exchange Commission
Because of the ongoing options probe, Valeant didn't compare third-quarter results to those of the year-ago period. It recorded sales of $219.4 million, income from continuing operations of $3.9 million and earnings per share of 4 cents on a GAAP basis. Excluding one-time items, Valeant earned $13.6 million from continuing operations, or 14 cents a share. Shares lost 1.8% to $18.17.
plummeted after the company halted enrollment in a clinical trial of an experimental cancer drug due to heart risks.
The decision came after more than 10% of patients enrolled through the end of September experienced serious heart-related side effects after being treated with the drug, dubbed XL999. Four out of 14 enrolled in October also experienced similar problems.
However, the company says it will continue to give the drug to the 115 of the 131 patients already enrolled who reported no side effects. All but one of the adverse events occurred after the first administration of the drug, Exelixis says. The stock was down 12.5% to $8.17.
swung to a profit in the third quarter, but revenue fell short of analysts' estimates. Still, shares ticked higher by 0.5% to $8.49.
The company earned $2.2 million, or 5 cents a share, vs. a loss of $5.8 million and 13 cents a share a year ago. Excluding certain items, the company lost 3 cents a share. The adjusted results exclude a gain of $4.8 million in the most recent quarter from the repurchase of convertible notes due in 2008, offset by a writeoff of $1.2 million in related costs.
Revenue in the 2006 third quarter reached $45.9 million, up from $44 million a year ago. However, analysts surveyed by Thomson First Call expected $47.9 million in revenue.