As expected, investors are enthused about shares of BioMimetic Therapeutics after the company took the next step in getting its Augment bone graft treatment approved by Food and Drug Administration officials. But the pop in Monday's after-hours trading was only a tease: The stock (Ticker: BMTI) is up more than 20 percent on massive volume.
Pathfinder Therapeutics has sold its image-guided surgery system to doctors at the University of North Carolina's main campus in Chapel Hill, who will use it for liver cancer surgery. Eight-year-old Pathfinder has received backing from several big-name investors and last month received some funding from the state's INCITE co-investment fund.
"We are very excited to announce this installation at the University of North Carolina, as we continue to expand our presence in the top tier cancer and transplant centers in the United States," said Jim Cloar, CEO of Pathfinder Therapeutics. "Sales momentum, and interest from around the world continues to build for Explorer."
Investors really like what they saw and heard from BioMimetic Therapeutics Thursday, when the company reported that its Augment Injectable Bone Graft treatment performed well in recent trials. After popping more than 11 percent yesterday, the stock (Ticker: BMTI) is up another 15 percent this morning. Volume already is almost 10 times the daily average.
Biotechnology company BioMimetic Therapeutics (Ticker: BMTI) got a big bump in its stock price Thursday just before the release of positive results of a successful Canadian clinical trial of its Augment Injectable Bone Graft treatment. Dr. Timothy Daniels, associate professor of orthopedic surgery at the University of Toronto and St. Michael's Hospital, presented the results of the trial at the American Orthopaedic Foot and Ankle Society annual meeting.
"I have been impressed with the improved handling and delivery characteristics of Augment Injectable compared to other available bone graft alternatives currently being used. Should Augment Injectable receive Health Canada approval, I believe it will be widely used by surgeons who are interested in sparing patients the additional pain and potential risks associated with traditional autograft bone harvest. Further, given the injectable nature of the material and improved handling characteristics, Augment Injectable may expand the indications for bone grafting."
Shares jumped more than 16 percent in yesterday's regular trading session to close at $3.15 and climbed another 5 percent after hours. That has the stock at its highest level since October.
The numbers aren't huge, but investors in BioMimetic Therapeutics might take heart from some recent insider buys. Chairman and CEO Sam Lynch spent almost $31,000 to add to his large stake in the medical device maker. In addition, Director Larry Papasan bought almost $25,000 worth of stock, boosting his holdings by about half.
Offsetting those purchases, however, were the tax-driven sales by General Counsel Earl Douglas, who needed to cash in about $125,000 worth of stock to satisfy AMT liabilities.
Shares of BioMimetic (Ticker: BMTI) are down about 13 percent so far in 2012 and some 80 percent since this time last year.
The board of BioMimetic Therapeutics has approved an incentive plan for Russ Pagano, the biomedical device maker's vice president of clinical and regulatory affairs. The program will pay Pagano — a Food and Drug Administration veteran who joined BioMimetic five years ago — up to $100,000 in cash if the company meets unspecificed "regulatory milestones." We're guessing they have something to do with getting its Augment bone-graft treatment approved.