Healthcare

Orphazyme A S ADR (NASDAQ: ORPH) Resumes Rally: How Far Can it Go?

At a hike of 61.29%, Orphazyme A S ADR (NASDAQ: ORPH) shot up and exited the market at a price of $16.21.

The move came after this clinical-stage biopharmaceutical company announced a key sale from a shareholder, the largest fleet. The reason why investors pushed the stock price was their conviction that the company was perhaps bucking up for a buyout. At 3.23 p.m. EDT, this stock was 77.1% higher.

Just two days ago, the company had disclosed that Sunstone Life Ventures fund, one of its largest investors, was about to sell the shares. It did not specify the numbers, though.

However, this disclosure was just needed to bring the voting rights to less than 5% mark. Some of the investors took it as a hint that perhaps Sunstone was making room for a buyout/ merger that might take place. This forced ORPH to skyrocket, and on June 15, when the stock was trading at around $10, yesterday it broke the roof and touched the magic number of $16.