Dallas, Texas 10/10/2013 (Financialstrend) – Aastrom Biosciences Inc (NASDAQ:ASTM) is a development stage biotech firm which is working hard to put the hard days of August behind it when its stock had depreciated by 28% in a single day.
In a big change of context from two months back on September 24, Aastrom announced that it has entered into a Warrant Exercise Agreement with two existing warrant holders. These warrants were issued by Aastrom in August 2013. Company had indicated its willingness to purchase 7.3 million shares of the Company’s common stock. Following the Warrant issue exercise, the warrant holders agreed to a selling price of $0.375. Totally they would earn close to $1.2 million in total proceeds from the exercise. After completion of the exercise, the number of warrants outstanding would be reduced to 22.66 million, a net drop of 24% from before.
In additional positive news coming from the company HQ, Aastrom on September 16 had announced that its phase 2 clinical trials application for “2b ixCELL-DCM” has been approved in Canada. The target drug is being tested to determine effectiveness in treating patients suffering from Heart failure thanks to “cardimyopathy”.
These two pieces of positive news has not been able to stem the loss in terms of market value for ASTM stock. In a single day of trading on October 9, the stock lost close to 10.3%. It ended the day at $0.22 per share which was 10.35 lower than its 52 week low pricing. At current depreciated valuations the stock has shrunk to $10.2 million with total accumulated loss of $26.9 million over the past 12 months. The stock has lost 30% of its market value in the past 30 days and has almost given up 85% of its market valuation over the past 365 days.