Apricus Biosciences Inc (NASDAQ: APRI)
Apricus Biosciences is having a great time in the pre-market trading hours today. After providing an update with regard to a key sale, the stock started to climb dramatically, and it’s now clear that the stock will at least start the day well into the green. Below, we’ll talk about what we’re seeing from APRI, why, and what we’ll be watching for ahead.
What We’re Seeing From APRI
As mentioned above, Apricus Biosciences is having an incredibly strong start to the day today in the pre-market hours. The gains seem to be the result of news that the company completed an asset sale. As a result of the completion, investors are overwhelmingly excited, sending the stock up in a big way. At the moment (8:41), APRI is trading at $3.53 per share after a gain of 26.52% thus far today.
Why The Stock Is Headed Up
As is almost always the case, our partners at Trade Ideas were the first to inform us of the gains on APRI. As soon as we received the alert, the CNA Finance team started working to see why the stock was gaining so much. In this case, it didn’t take long to dig up the dirt. The gains seem to be the result of a completed asset sale.
Early this morning, Apricus Biosciences announced that it has completed a sale to Ferring International Center S.A. The sale revolves around the company’s ex-US assets and rights related to Vitaros(R), the company’s on-demand topical cream for the treatment of erectile dysfunction. In a statement, Richard Pascoe, CEO at APRI had the following to offer…
“This transaction reflects the continued execution of our corporate strategy of developing, obtaining regulatory approval for, and partnering novel topical prescription treatments in areas of significant unmet need… Moreover, this transaction will allow us to focus our financial resources on obtaining U.S. regulatory approval for Vitaros, accelerate the advancement of our clinical pipeline, and strengthen our balance sheet with non-dilutive capital, extinguish our existing debt facility, eliminate certain future ex-U.S. Vitaros liabilities and lower our quarterly operating expenses by approximately 30%. I want to thank all of our commercial partners, including Ferring, for their commitment to making Vitaros a successful global brand. We look forward to their continued success as we work toward a U.S. Vitaros NDA re-submission in the third quarter of this year.”
What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on APRI. In particular we’ll be watching to follow the news of the company’s recent asset sale as well as their continued work on the pipeline that this will help to finance and speed up. Nonetheless, we’ll be watching the news closely and bringing it to you as it breaks!
Never Miss The News Again
Do you want real-time, actionable news delivered to your inbox? Join the CNA Finance mailing list below!
[Image Courtesy of Flickr]