Diamonds and Dogs
5/28/13Cleantech Solutions International Inc. (CLNT)
Cleantech is looking a little dirty today, down 16.93% at $6.38. The forged ring company saw its shares decline after a large run last week. Cleantech is a micro-cap company that made a huge run last week, from $3.68 a share to $10.38 per share. The pop in share price came off of news that company had "received the necessary third party certifications" regarding their product. This news seemed to be blown out of proportion by the market; the certification simply meant that Beijing New Century Certification Co. approved Cleantech as a certified supplier of forged ring parts. Today, investors (especially day traders) are seeing the stock was overvalued and are selling it off.
Omthera Pharmaceuticals Inc. (OMTH)
Omthera Pharmaceuticals hit the "daily double" today, up 99.56% at $13.51. The dyslipidemia and cardiovascular disease company saw its shares double in value today after AstraZeneca announced it would purchase the company. The details of the acquisition are that AstraZeneca will pay $323 million for Omthera, with the option of an additional $120 million in future payments based on the performance of Omthera's pipeline. The reasoning behind the acquisition is that it allows AstraZeneca to get in on the rapidly growing fish oil market designed to treat high levels of triglycerides and high-risk patients with cardiovascular disease. Omthera shares traded to a new 52-week high of $13.75 intraday.