Health care stocks were mostly lower today with the NYSE
Healthcare Sector Index sliding nearly 0.7% while shares of health
care companies in the S&P 500 were down 0.9% as a group.
In company news, StemCells Inc. (
) declined Tuesday after the biotech company working to
commercialize stem cell therapeutics proposed a $20 million private
placement of stock and warrants to two unnamed institutional
The stock also likely is being pressured by Federal Reserve
commentary today suggesting biotechnology stocks - along with
shares of social media companies - may be "substantially
The company is planning to sell 11.3 mln shares of its common
stock along with warrants to buy up to 9.6 mln additional shares
exercisable at $2.17 each and expiring 13 months after the offering
closes. It expects to use the new funds for general company
purposes, including working capital, product development and other
STEM shares were down about over 10% at $1.82 each in late
trade, holding just 2 cents above its session low. The stock has
traded in a 52-week range of $1.15 to $2.43 a share, rising about
12.3% over the past 12 months.
In other sector news,
(-) PPHM, Reports fiscal Q4 net loss of $10.6 mln, or $0.06 per
share, up from an $8.4 mln net loss in the year-ago quarter but
beating analyst estimates by $0.01. Total revenue rises 52.1% year
over year to $6.47 mln, topping Street by $1.72 mln.
(-) NURO, Registers for future sale 1.97 mln shares of common
stock issuable following conversion of its Series A-4 preferred
stock as well as 3.92 mln shares from the exercise of warrants held
by funds affiliated with Sabby Management.