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ARTICLE | Company News

Biota falls after stop-work order for laninamivir

April 30, 2014 12:43 AM UTC

Biota Pharmaceuticals Inc. (NASDAQ:BOTA) fell $1.89 (34%) to $3.68 on Tuesday after reporting that HHS's Office of the Assistant Secretary for Preparedness and Response (ASPR) and Biomedical Advanced Research and Development Authority (BARDA) issued a stop-work order for laninamivir octanoate. Biota is developing the influenza product under a 2011 BARDA contract worth up to $231 million. The order is in effect pending a decision from HHS following a scheduled review of the contract. Biota said it was "surprised" by the order and "does not have additional visibility or understanding" of the matter. The company expects a decision from HHS on the contract "within the next week or so."

Next quarter, Biota expects to report top-line data from the Phase II IGLOO trial of laninamivir octanoate for influenza A and B infections. At Dec. 31, Biota had $51.4 million in cash. ...