On Wednesday, U.S. stock market indexes closed in the green after opening lower. The S&P 500 and the Dow Jones Industrial Average recorded highs. The S&P 500 rose 0.12% points to close at 2,537.74, the Nasdaq Composite gained 0.04% to 6,534.63 and the Dow Jones increased 0.09% to 22,661.64.
Shares of ImmunoGen Inc. (IMGN, Financial) closed 2.35% higher on Wednesday, but fell more than 8% in after-hours trading after announcing a secondary offering of 13 million shares. The biotech company plans to use the proceeds to finance research and development, clinical trials and other expenses like commercialization preparation, acquisitions of new technologies, capital expenditures and working capital. Jefferies, Leerink Partners and RBC Capital Markets will be the underwriters.
On the other hand, Acadia Pharmaceuticals Inc. (ACAD, Financial) gained 0.72% and is also trading higher after market close. The pharmaceutical company announced the U.S. Food and Drug Administration granted pimavanserin, which treats dementia-related psychosis, breakthrough therapy designation.Â
Serge Stankovic, executive vice president and head of research and development, was pleased with the FDA's decision as it “has agreed to an efficient development path for pimavanserin in this broad indication and granted Breakthrough Therapy Designation in recognition of this serious unmet need.”
“Initiation of our Phase III study is supported by clinical and preclinical evidence of pimavanserin’s antipsychotic activity without detrimental effects on cognitive function or other side effects associated with antipsychotics currently used off-label for this indication,” he added.
Disclosure: The author holds no positions in any stocks mentioned.
