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Tuesday, December 3, 2019

Merrimack Pharma up 6% on $6.7M special dividend

Thinly traded nano cap Merrimack Pharmaceuticals (MACK +6.1%) is up on almost 30% higher volume, albeit on turnover of only 66K shares, on the heels of its announcement that it has received a $5M milestone payment from Ipsen S.A. (OTCPK:IPSEY) triggered by the latter's decision to advance the ongoing clinical trial evaluating Onivyde (irinotecan liposome injection) in small-cell lung cancer patients.
As a result, Merrimack's board has authorized and declared a $6.7M special cash dividend to shareholders of record on December 16 (ex-dividend date is December 13). The payout will be ~$0.50 per share.
Ipsen acquired the company's oncology assets almost three years ago for $575M in cash plus potential payments for new indications of Onivyde.

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