Shares of Orphazyme A/S (NAS:ORPH) plunged 50.2% in active premarket trading Friday, after rocketing fourfold in the previous session, after the Denmark-based biopharmaceutical company said overnight that wasn't aware of any reason for the recent "extreme volatility." Trading volume was already up to 4.1 million shares before Friday's open, compared with the full-day average over the past 30 days of about 286,000 shares, according to FactSet On Thursday, the stock had soared as much 1,387% intraday before closing up 301.5% on volume of 7.9 million shares, and was halted a total of 22 times for volatility during the day. "The company is not aware of any material change in its clinical development programs, financial condition or results of operations that would explain such price volatility or trading volume that has occurred since June 10, 2021," the company said in a statement. "Investors who purchase the company's ADS or shares may lose a significant portion of their investments if the price of such securities subsequently declines." The company's applications for arimoclomol for Niemann-Pick disease type C are under priority review with the U.S. Food and Drug Administration, with an expected action date of June 17. Even with the previous day's surge, the stock has gained 62.9% over the past three months through Thursday, while the S&P 500 (S&P:SPX) has gained 7.6%.
June 11, 2021, 7:55 a.m. EDT