Eliem Therapeutics (NASDAQ:ELYM) stock is taking off on Thursday after the biotechnology company announced plans to explore strategic alternatives.
Eliem Therapeutics came to this decision after completing a review of the company and its various programs. This has it deciding to halt the development of its Kv7 program. It has also retained Leerink Partners to act as an advisor at this time.
Eliem Therapeutics notes that its strategic review could result in major changes for the company. Among these are the potential acquisition, merger, business combination, or other transactions connected to the company.
According to Eliem Therapeutics, it doesn’t have a timetable in place for the completion of this strategic review. However, it does mention that it had $102.6 million in cash, cash equivalents, and investments available at the end of June. The company says it won’t provide any further updates on its plans until appropriate or necessary.
How This Affects ELYM Stock
News of Eliem Therapeutics seeking out strategic alternatives has reignited interest in ELYM stock this morning. As of this writing, more than 550,000 shares of the company’s stock have changed hands. To put that in perspective, the company’s daily average trading volume is closer to 5,000 shares.
Investors will note that the low average trading volume, combined with its market capitalization of $75.582 million, makes ELYM a penny stock. That means it may see volatility as traders pump and dump the shares. That’s worth keeping in mind with its rise today.
ELYM stock is up 6.1% as of Thursday morning.
Investors looking for even more of the most recent stock market news will want to stick around!
InvestorPlace is home to all of the hottest stock market news traders need to know about on Thursday! Among that is what’s moving shares of PainReform (NASDAQ:PRFX) stock, the biggest pre-market stock movers this morning, and more. All of that is ready to go at the links below!
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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
