From BioHealth Investor
by H.S. Ayoub
The major biotech indices were mixed on Monday.
Vertex Pharmaceuticals (VRTX), a component of both indices, gained more than 13% on the day after the company announced that its fourth quarter preliminary revenue total of $100 million exceeded analyst expecations. While total revenue for the quarter was 10% lower than that of 2005, it still beat the consensus of $99.5 million. The company will release the final financials on February 7.
Seattle Genetics (SGEN) jumped almost 25% as the company announced it had entered into a licensing agreement with biotech giant Genentech (DNA) to develop and commercialize the monoclonal antibody SGN-40 for the treatment of multiple myeloma, chronic lymphocytic leukemia and non-Hodgkin’s lymphoma.
Shares of BioCryst Pharmaceuticals (BCRX) lost more than 10% as the company announced it had appointed John Stonehouse to replace the company’s former CEO Dr.Charles Bugg who retired.
BioVeris Corp. (BIOV) dropped 11% after the company announced it will initiate an audit of its licensing deal with Roche Diagnostics Corp. The move was motivated by a milestone payment of $2.8 million by Roche which BioVeris believes does not satisfy the terms of the deal.