Sequenom settles

Given that Sequenom Inc. lost more than $600 million in market cap after it retracted clinical data for its SEQureDx Down Syndrome test, a class action settlement announced Friday looks cheap. Sequenom (NASDAQ:SQNM) plans to settle shareholder lawsuits for $14 million, funded by insurance proceeds, plus roughly 6.8 million new shares.

The shares will account for 9.95% of total shares outstanding after the new issue and are valued at $28.3 million, based on Sequenom's close of $4.15 on Thursday, before the settlement was announced...