Orexigen continues to sink on Contrave news

Orexigen Therapeutics Inc. (NASDAQ:OREX) dropped $0.91 (15%) to $5.02 on Wednesday after Takeda Pharmaceutical Co. Ltd. (Tokyo:4502) sent a dispute letter to the company seeking to terminate the companies' collaboration agreement for obesity drug Contrave naltrexone/buproprion. Takeda said the dispute is based on a material breach by Orexigen; Takeda spokesperson Sandy Rodriguez declined to comment on what constituted a material breach. Takeda said it is attempting to work with Orexigen to resolve the situation and avoid terminating the collaboration.

Orexigen said the companies will enter a dispute resolution process that may include arbitration. ...