Avanir Pharmaceuticals, Inc. (NASDAQ:AVNR) Jumps 14.97% on Drug Approval
Northern, WI 04/26/2013 (GDPInsider) – Avanir Pharmaceuticals, Inc. (NASDAQ:AVNR) is trading up 14.97% today on news that the pharmaceutical company has been given approval for the use of NUEDEXTA® (dextromethorphan hydrobromide and quinidine sulfate). The recommendation came from the Committee for Medicinal Products for Human Use (CHMP) of the European Medicines Agency (EMA) and the stock responded in kind once the news broke. AVNR opened at $3.67 and has a trading range of $3.57 and $3.74. The stock has continued its northward slope which began at the start of April and the current trading value see’s the stock up 27.11% on its 50-day moving average and 27.18% on its 20-day moving average.
The approval of NUEDEXTA® comes with some latitude because the EMA has recommended that it be used to treat pseudobulbar affect (PBA) no matter what the neurological cause of the condition stems from. There’s also a recommendation that the drug be approved in two dose strengths. The first dose is NUEDEXTA; 20/10 mg and the second dose being NUEDEXTA; 30/10 mg—both in capsule form.
The EMA looks committed to tackling PBA which is a condition characterized by sudden and uncontrollable emotional outburst. Frequent occurrences include uncontrollable laughter, crying or sometimes contrasting behavior in relation to what’s going on with a patient emotionally. Clearly a very complex condition and Avanir seemed to have taken the time and invested the money in understanding the problem and developing the drug.
Dr. Joao Siffert, chief scientific officer of Avanir believes that the approval is a win for patients. “We will continue to work with the European Medicines Agency and the European Commission toward the marketing authorization so that patients suffering from PBA have ready access to NUEDEXTA in Europe,” said Siffert in a release.
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