Nu-Tech Bio-Med has no answers for stock plunge
--------------------------------------------------------------------------------
Shares in Nu-Tech Bio-Med have plunged in recent days, but the company said it has no idea why. Nu-Tech, of Warwick, does biotechnological research and development, using genetic and other biotechnology techniques.
Stock in the company closed at$13 a share on Jan. 20, a recent high in Nasdaq Small-Cap Market trading.
In the days that followed, the stock slipped a bit in price. But last week, the stock took a steep plunge, closing at $6.50 a share on March 14, as trading volume soared,according to charts generated by Bloomberg Business News.
Yesterday, Nu-Tech stock closed at $5.375, up 25 cents a share.
In a statement issued March 14, the company said it had received an inquiry from the Nasdaq market as to reasons, if any, forthe recent decline in the price of the company's common stock.
"The company is aware of no business developments or events that have not been disclosed in the company's filings with the Securities and Exchange Commission," Nu-Tech said in thestatement.
"The company further stated, based on supposition only, that such decline could be attributable to possible sales by shareholders pursuant to a recently effective S-3 registration, the anticipated filing of an additional registrationstatement for additional selling shareholders, margin calls, if any, and an unfounded and untrue rumor that the company's president, Marvin Feigenbaum, had resigned," the statement added.
(Copyright 1997) |
