Dare Bioscience Inc (NASDAQ: DARE) is having an incredibly strong start to the trading session this morning, and for good reason. The company announced that it has entered into a merger agreement, acquiring key assets in its industry. Of course, the news led to excitement among investors, sending the stock screaming for the top. Today, we’ll talk about:
- The merger;
- what we’re seeing from the stock;
- and what we’ll be watching for with regard to DARE ahead.
DARE Announces Merger
As mentioned above, Dare Bioscience is having an incredibly strong start to the trading session this morning after the company announced that it entered into a merger agreement. In a press release issued early this morning, the company announced that it has entered into a merger agreement with Pear Tree Pharmaceuticals. Pear Tree is a developmental-stage biotech company that’s focused on women’s health.
Through the agreement, DARE has secured the rights to develop PT-101. PT-101 is a proprietary vaginal formulation of tamoxifen and is being developed as a potential treatment for vulvar and vaginal atrophy in patients with hormone-receptor-positive breast cancer. At the moment, oral tamoxifen is approved by the FDA to treat hormone-receptor-positive breast cancer. PT-101 is a different take on tamoxifen, using it in a tablet formulation that is delivered vaginally. In a statement, Sabrina Martucci Johnson, President and CEO at DARE, had the following to offer:
Adding vaginal tamoxifen to our innovative portfolio of novel women’s health products aligns perfectly with our mission of meaningfully impacting women’s lives by identifying and advancing products that address therapeutic gaps in contraception, sexual health and vaginal health… We are optimistic about the potential for this clinical candidate to become the first VVA therapy designed explicitly for hormone-receptor-positive breast cancer patients.
What We’re Seeing From The Stock
As investors, one of the first lessons that we learn is that the news moves the market. In the case of Dare Bioscience, the news proved to be overwhelmingly positive. After all, through the merger, the company now has a new asset that shows some serious promise. So, it’s not surprising to see that investors are sending the stock toward the top out of excitement. As is almost always the case, our partners at Trade Ideas were the first to alert us to the gains. At the moment (10:13), DARE is trading at $1.22 per share after a gain of $0.15 per share or 14.11% 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 DARE. In particular, we’re interested in following the news surrounding the products that the company was working on before the acquisition as well as the news surrounding PT-101. Nonetheless, we’ll be following the story closely and bringing the news to you as it breaks!
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