On buyout news, Bioenvision leads small-cap volume
Shares of Bioenvision, Inc. (Nasdaq: BIVN), the cancer drug developer, are trading heavily following Genzyme Corp.’s (Nasdaq: GENZ) Tuesday morning announcement it has agreed to buy Bioenvision for $5.60 per share, or approximately $345 million in cash. The offer is 6.7% above Friday’s closing price. By purchasing Bioenvision, Genzyme will gain exclusive rights to the leukemia drug clofarabine. Genzyme said in a statement it is looking to broaden the use of clofarabine, which is used to treat children with acute lymphoblastic leukemia who have had relapses or failed other treatment.
In heavy trading, Jones Soda Co. (Nasdaq: JSDA) shares are losing value after a negative story on the beverage company ran in Barron’s over the weekend. Jones CEO Peter Van Stolk, other executives and important stakeholders such as the Bjurman Barry Small Cap Growth Fund are unloading shares, the Barron’s article said. Shares in the Seattle-based company have been up over 250% since August on speculation of takeover bids, strong revenue and covering by short sellers, who comprise 20% of the company’s investors. The Barron’s story stated the company is valued 65% below its current trading price.
Bradley Pharmaceuticals, Inc. (NYSE: BDY) shares are up sharply in heavy Tuesday morning trading following an announcment of Bradley CEO Daniel Glassman’s takeover bid to take the company private at $21.50 a share. Glassman’s all-cash offer, which he submitted to Bradley’s board of directors this morning, is 17% higher than Friday’s closing price. Bradley Pharmaceuticals acquires, develops and markets prescription and over-the-counter dermatology, podiatry, gastroenterology and women’s health products. Glassman’s family already owns 12% of the company’s stock. Raymond Jones analyst Michael Krensavage said in a letter to shareholders Glassman’s offer is not enough because Bradley shares have a minimum intrinsic value of $27 per share.
The following were the most actively traded companies in Tuesday's trading among those with market capitalizations under $500 million:
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