Merrill drops Replidyne to neutral

Merrill Lynch analyst David Munno lowered Replidyne Inc. to a neutral rating from a buy on news of the non-approvable letter from the Food and Drug Administration for faropenem. The analyst cited three reasons for the downgrade: the need for placebo-controlled superiority studies, delaying approval for three years or more, the possibility that Forest Laboratories may renegotiate or cancel its contract with Replidyne and the lack of significant catalysts for the next two to three years. Shares of the Louisville, Ky.-based biopharmaceutical company were down $4.65, or 45.41%, at $5.59. (Nasdaq: RDYN)

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.