Boston, MA, 03/26/2013 –Idenix Pharmaceuticals Inc. (NASDAQ:IDIX) is currently trading at $3.65 down by 20.65%, a significant drop from its previous close of $4.60. The stock was trading in a range bound area since past four months and has breached that range to move southwards. IDIX declared on March 22, that the U.S. Patent and Trademark Office (USPTO) have given its decision in the first phase of a patent dispute related to hepatitis C related to the chemical makeup, with Gilead Sciences (GILD), and declared GILD to be the “senior party”. IDIX alleged that the patent issued to GILD was in violation of patent applications. USPTO issued a decision that IDIX’s patent application was filed after Gilead, which makes GILD the “senior party’ and IDIX the “junior party”. This ruling was contrary to the previous decision of USPTO which had then declared IDIX to be the “senior party”. Though the declaration of being a “junior party” does not prove which party was the first to invent. This decision will require IDIX to provide further evidence to prove that it was the first one to invent. If IDIX wins then GILD might have to pay a slight royalty on sales of its hepatitis C drug sofosbuvir. The second phase will take place in the 2Q2013.
Central European Distribution Corp. (NASDAQ:CEDC) The stock has declined linearly since last one year and has broken it support level with high volume and is currently trading at $0.25 down by 16.70%. CEDC made its new 52-week low on March 19. CEDC received an amended proposal of restructuring its financial obligations from a group which include A1 Investment Company, Dr. Mark Kaufman and the SPI Group. CEDC has been struggling with its debt in the past few months, it declared on March 20, that it has terminated its previous proposal for offering stock against its 3% Convertible Senior Notes, and will now offer $25 million in cash and secured notes worth $30 million on a pro-rata share.
Yingli Green Energy Holding Co. Ltd. (NYSE:YGE) is trading at $1.93 down by 10.83% and is trading below its MA (100) of $2.37 and EMA (100) of $2.49. Suntech filed a bankruptcy on March 15, and is determining how to pay back its creditors. The other companies in the same industries who went out of the business were Energy Conversion Devices, Q.Cells and Solyndra. The market participants now expect YGE, which has a poor balance sheet, to be the next to face the same problem as its peers. The solar markets have a demand of about 30 GW and the supply is 70 GW, this oversupply will lead to weak companies fall out of the market. To stay competitive and to be in the business, companies need to differentiate their product line from their competitors. At the same time, aim to minimize costs which could be achieved through cheap panels, lower financing expenses, and advanced technology