Pain Therapeutics Inc (NASDAQ:PTIE) has plunged drastically today, hitting its 52-week low of $0.96 during the current session on losses of nearly 55%. The stock was battered by the news that its New Drug Application for its opioid treatment Remoxy ER, licensed from DURECT Corporation (NASDAQ:DRRX), would not be approved in its present form. Durect has also plunged on the news, falling by over 31% today. The necessary steps to attain approval for the drug with label claims against injection, inhalation, and snorting, as outlined in the FDA’s Complete Response Letter, could take the company a year to achieve and $5 million in costs.
Seven hedge funds in our database were long Pain Therapeutics Inc (NASDAQ:PTIE) on June 30, with their holdings valued at $35 million in aggregate at that time and amounting to 35.30% of Pain Therapeutics’ outstanding stock. Meanwhile, ten hedge funds held about $43 million worth of DURECT Corporation (NASDAQ:DRRX)’s stock as of the end of the June quarter, accounting for 25.80% of its float.
Natus Medical Inc (NASDAQ:BABY) announced the acquisition of GN Otometrics for $145 million in an all-cash deal today. The acquisition will help Natus Medical expand its product portfolio and is expected to be immediately accretive to its non-GAAP earnings. Natus Medical also updated its third quarter revenue guidance, lowering it to $89 million-to-$91 million from the previous estimated range of $97 million-to-$98 million. The news has caused the stock to slump by nearly 10% today. 20 hedge funds that we track held about $137 million worth of Natus Medical’s stock on June 30.