Usually, shares of drug makers soar following the announcement that the Foood and Drug Administration approved a drug.
Amarin Corp. (NASDAQ: AMRN) announced approval by the FDA for Vascepta to patients very high triglycerides. Yet, shares of the company are down 9.89% to $13.80 on trading volume of 14 million shares. The 52-week high is $15.96.
A part of the problem is that the stock was rising, albeit slowly, throughout the week based on anticipation for the announcement. While the FDA approval was expected, it hasn’t yet received approval for New Chemical Entity status to make sure there isn’t a generic competitor.
Investors are also looking for the company to be sold. Companies that could be strong candidates include AstraZeneca PLC (LSE: AZN), Pfizer, Inc. (NYSE: PFE) and Abbott Laboratories (NYSE: ABT), according to a Bloomberg article on Friday.