Well the stock has fallen 82 cents since I set up the board. Glad I didn't buy any (g)
UPDATE - Stressgen stock falls after clinical trials delay
Tuesday June 10, 4:36 pm ET
TORONTO, June 10 (Reuters) - Stressgen Biotechnologies Corp.'s (Toronto:SSB.TO - News) announcement on Tuesday that clinical trials for its lead product will be delayed until it improves its manufacturing process sent its share price tumbling.
Shares of Stressgen, whose lead drug HspE7 treats cervical and anal dysplasia, fell 59 Canadian cents, or 22 percent, to close at C$2.09 on the Toronto Stock Exchange (News - Websites).
With 1.7 million shares changing hands, its shares had their busiest day in the past two years.
Stressgen is manufacturing small quantities of HspE7 for use in clinical trials, but must be able to make it in quantity for mass use before being approved for market.
The decision is expected to delay clinical trials until the second half of next year, roughly two quarters beyond some analysts' estimates.
"It's the right thing to do mainly because you obviously want your phase III trials done using the same materials that will be used when the product is launched on the market," said Prakash Gowd, an analyst with Canaccord Capital.
"If your trials have been done with a different manufacturing process than the one you intend to launch, there could be potential delays which would be very negative later on."
Gowd, who does not own Stressgen stock, has a "buy" recommendation on its shares with a C$4.00 target price.
($1=$1.36 Canadian)
