First Eagle Investment (Trades, Portfolio) raised its stake in Aradigm Corp. (ARDM, Financial), a Hayward, California-based pharmaceutical company, by nearly 15% with the purchase of 575,815 shares on April 25.
On the previous trading day (Friday, April 22), Aradigm’s price gained more than 2%, rising to $4.73 per share.
First Eagle paid $4.9 per share in a transaction that had a 0.01% impact on its portfolio. The stake, now 4,430,545 shares, is 30.02% of Aradigm’s outstanding shares and 0.05% of First Eagle’s total assets. First Eagle is Aradigm’s leading shareholder among the gurus.
Aradigm develops inhalation drug products that could benefit patients with pulmonary disease. Its present drug pipeline includes an inhaled antibiotic being developed for the treatment of bronchiectasis and cystic fibrosis and for biodefense and inhaled nicotine for smoking cessation.
On April 26, Aradigm announced the first closing of its previously announced private placement of $23 million aggregate principal amount of its senior convertible notes due 2021 and related warrants to purchase 263,436 shares of common stock.
Aradigm has a P/B of 3.3 and a P/S of 2.4. GuruFocus gives Aradigm a Financial Strength rating of 5/10 and a Profitability and Growth rating of 2/10.
Aradigm sold for $4.95 per share at midday Thursday.
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