Finance Watch: A Rough Week To End A Bad Month For Biotech Stocks

Public Company Edition: The prior day's after-hours bad news sent biotech stocks lower on 9 August, and IPOs are taking a breather with the NBI down 2.1% over the past month. However, already public companies are raising cash, including Allakos and Ironwood at $350m each.

It's ugly out there for biopharmaceutical stocks in the US with the Nasdaq Biotechnology Index (NBI) down 2.1% over the past month, which has had a chilling effect on initial public offerings for the industry. The Nasdaq closed up 0.36% for the week ending 9 August, but it ended the day in the red after a bout of after-hours bad news from multiple drug developers on 8 August.

Amarin Corp. PLC shocked its investors with an announcement after the stock market closed on 8 August that the...