BioCentury
ARTICLE | Finance

Value vaporization

Teva, Active Biotech shed billions in value as MS candidate misses endpoint

August 8, 2011 7:00 AM UTC

Investors slashed more than $3 billion off the combined market caps of partners Active Biotech AB (SSE:ACTI) and Teva Pharmaceutical Industries Ltd. (NASDAQ:TEVA) last week after laquinimod missed the primary endpoint in the Phase III BRAVO trial to treat relapsing-remitting multiple sclerosis (RRMS).

Teva fell $2.88 to $43.76 on Monday's news, for a drop in market cap of $2.6 billion. Active Biotech slid SEK42.15 (54%) to SEK36.60, a market cap loss of SEK2.9 billion ($462.5 million)...