Biotie Therapies Oyj (BITI) Stock Up over 85% on Acquisition by Acorda (ACOR)

Share

Shares of Biotie Therapies Oyj (ADR) (NASDAQ:BITI) are trading up huge this afternoon after the company has entered into an acquisition agreement with Acorda Therapeutics (NASDAQ:ACOR) for $25.60 per share. This represents a huge 94% increase over yesterdays closing price, thus setting off a bullish signal for investors.

The move gives Acorda rights to a drug called tozadenant which is an oral adenosine A2a receptor antagonist that is currently in Phase 3 development for the treatment of Parkinson’s disease, as well as rights to other drugs such as SYN120, another Parkinson’s disease treatment.

“Our acquisition of Biotie positions Acorda as a leader in Parkinson’s disease therapeutic development, with three clinical-stage compounds that have the potential to improve the lives of people with Parkinson’s. Tozadenant, Biotie’s most advanced clinical program, is a promising therapy being developed to reduce daily OFF time,” said Ron Cohen, M.D., Acorda’s President and CEO. “Adenosine A2a receptor antagonists may be the first new class of drug approved for the treatment of Parkinson’s in the U.S. in over 20 years. Approximately 350,000 people with Parkinson’s in the U.S. experience OFF periods, and if approved, tozadenant could provide a much needed treatment option.”

The cash transaction is worth approximately $363 million, and if complete, should go a long way in strengthening Acorda’s business model. BITI stock is up 85.46% or $11.15 following the news, hitting $24.2 per share. About 269,431 shares traded hands or up 1768.19% from the average. BITI has declined 31.25% since June 12, 2015 and is currently downtrending. It has underperformed the S&P500 by 22.38%.

Biotie Therapies Oyj is a Finland-based drug development firm focused on developing products for neurodegenerative and psychiatric disorders. The company has a market cap of $179.35 million. The Company’s lead market product is Selincro , a therapeutic for alcohol dependence that is rolled out across Europe by its partner Lundbeck. It currently has negative earnings. The Company’s product pipeline includes tozadenant, a therapeutic for Parkinson’s disease that is in Phase Three development; and two additional compounds in Phase Two development that treat cognitive disorders, namely: SYN120, an orally administered compound therapeutic for Parkinson’s disease dementia, and BTT1023, a human monoclonal antibody targeting compound therapeutic for primary sclerosing cholangitis.

#focuskw=’Biotie Therapies Oyj (ADR) (NASDAQ:BITI)’##metadesc=’Shares of Biotie Therapies Oyj (ADR) (NASDAQ:BITI) are trading up huge this afternoon after the company has entered into an acquisition agreement with Acorda Therapeutics (NASDAQ:ACOR) for $25.60 per share. This represents a huge 94% increase over yesterdays closing price, thus setting off a bullish signal for investors.

The move gives Acorda rights to a drug called tozadenant which is an oral adenosine A2a receptor antagonist that is currently in Phase 3 development for the treatment of Parkinson’s disease, as well as rights to other drugs such as SYN120, another Parkinson’s disease treatment.

“Our acquisition of Biotie positions Acorda as a leader in Parkinson’s disease therapeutic development, with three clinical-stage compounds that have the potential to improve the lives of people with Parkinson’s. Tozadenant, Biotie’s most advanced clinical program, is a promising therapy being developed to reduce daily OFF time,” said Ron Cohen, M.D., Acorda’s President and CEO. “Adenosine A2a receptor antagonists may be the first new class of drug approved for the treatment of Parkinson’s in the U.S. in over 20 years. Approximately 350,000 people with Parkinson’s in the U.S. experience OFF periods, and if approved, tozadenant could provide a much needed treatment option.”

The cash transaction is worth approximately $363 million, and if complete, should go a long way in strengthening Acorda’s business model. ‘##metarobot=’index’##newskw=’Sony Corp (ADR) news,Sony Corp (ADR) – (NYSE:SNE),NYSE:SNE Analyst rating analysis,Stock Analysis,Outlook and potential,SNE Price change and trend,SNE stock update’##sitemap=’include’##skipsocial##stockticker=’NASDAQ:BITI’#

COMMENTS: