Axovant Sciences Ltd (NASDAQ: AXON) is having an incredibly strong start to the trading session this morning after the company announced news with regard to restructuring. Ultimately, the company plans on pipeline expansion, leading to excitement among investors and sending the stock on a run for the top. Today, we’ll talk about:
- The news;
- what we’re seeing from the stock; and
- what we’ll be watching for with regard to AXON ahead.
AXON Announces Restructuring News
As mentioned above, Axovant Sciences is having an incredibly strong start to the trading session this morning after the company announced the completion of restructuring that will prepare the business for further pipeline development. In the release, the company said that Gavin Corcoran, current CMO at Allergan plc (NYSE: AGN), will be joining the team as Executive Vice President of Research and Development. Also, AXON said that Michael Hayden, former CSO and President of Global Research & Development at Teva Pharmaceutical Industries (NYSE: TEVA), will be joining the team as Chairman of the company’s Scientific Advisory Board. Finally, the company said that organizational restructuring in preparation for new business development has been completed. In a statement, Pavan Cheruvu, MD. CEO at AXON, had the following to offer:
I am pleased to welcome Gavin and Michael to the Axovant team… Since starting as CEO in February, I have been focused on transforming Axovant into a leaner organization, introducing heightened standards of quality and excellence throughout the business, and establishing a new pipeline strategy. We are now poised for growth, and I am excited to have Gavin and Michael join us as we look toward expanding our pipeline in the coming months.
The above statement was followed up by Dr. Corcoran. Here’s what he had to offer:
I am very excited to join Axovant at this turning point… I look forward to working closely with Pavan and the senior management team to bring new investigational medicines into the portfolio as we build upon Axovant’s capabilities in research and development. We have a wonderful opportunity to develop life-changing medicines for patients with CNS diseases. I am also eager to leverage the Roivant platform to accelerate the development of Axovant’s pipeline.
Finally, Dr. Hayden, concluded statements with the following:
I share Pavan’s vision of rebuilding the company on a foundation of transformative science and I look forward to expanding Axovant’s Scientific Advisory Board… I have been very impressed with the caliber of the Axovant team and am excited about the future growth of the company.
What We’re Seeing From The Stock
One of the first things that we learn when we start to dig into the market is that the news leads to moves. In the case of Axovant, the news proved to be overwhelmingly positive. Not only did the company bring two highly decorated members of the medical community to the team, it has completed the restructuring that will allow for further product development. So, it only makes sense that excited investors are sending the stock on a run for the top. Of course, our partners at Trade Ideas were the first to alert us to the gains. At the moment (10:39), AXON is trading at $1.46 per share after a gain of $0.26 per share (21.53%) thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on AXON. In particular, we’re interested in following the story surrounding the company’s continued work toward restructuring. We’re also watching for the ideas and improvements brought to the table by Dr. Corcoran and Dr. Hayden. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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