Sequenom, Inc. (NASDAQ:SQNM) Down After Markman Ruling


Dallas, Texas 10/23/2013 (Financialstrend) – Sequenom, Inc. (NASDAQ:SQNM) designs and manufactures testing and screening equipment using biotechnology. These procedures and equipment are used for conducting diagnostic tests on cells predominantly by institutions which operate as research firms. It’s been in operations since 1994. In the last 12 months it has posted sales of 129 million. Over the past few years it has developed a niche for itself in designing non invasive products to meet the needs of women. Using its patented procedures it has ventured into detailing diagnostic procedures for oncology and prenatal tests.

In a SEC filing on October 15, the biotech player has submitted that United States District Court for the Northern District of California has issued a Markman ruling in context to its ongoing legal spat with a host of its competitors for infringement of its patents.

The multiple cases and counter cases are being fought between Seaqunom on one hand and its competitors which include “Ariosa Diagnostics, Inc , Natera, Inc. and Verinata Health, Inc.” Way back in 2011, Seaqunom had filed law suit against Ariosa claiming infringing of its patent pertaining to non invasive procedures to conduct DNA test. In response the above mentioned competitors of Sequenom counter sued asking for relief.

The patents in question revolve around the procedures followed to initiate and collect data for conducting “non-invasive prenatal DNA testing”. These tests are in huge demand since it allows parents and medical personal to determine the sex of the foetus, figure out the blood group and in being able to establish existence of “pre-eclampsia” in the expecting mother.

Post the court decision the stock has lost its market valuation. Last week it saw its market cap shrink by 10.47% and by close to 16% in the past 30 days. At close of business on October 22 the stock was trading at $2.31 per share.