Biotech, medical devices, acquisitions

Northstar Neuroscience Shares Climb on Tang Capital Bid

Luke Timmerman 7/2/08

Northstar Neuroscience shares shot up 21 percent today after Tang Capital Partners announced it has offered $2.25 a share in cash to purchase the Seattle-based medical device company. Northstar’s stock collapsed on Jan. 22, falling 83 percent to $1.36 a share, after it said its lead product candidate failed to restore arm movement for stroke patients in a clinical trial. Northstar shares climbed 31 cents to $1.81 at 2:32 p.m. Eastern time today after Tang announced its bid. The offer represents a 50 percent premium over Northstar’s price on July 1, Tang said in the statement.

Luke Timmerman is the National Biotechnology Editor for Xconomy. You can e-mail him at ltimmerman@xconomy.com, call 206-624-2374, or follow him on Twitter at http://twitter.com/ldtimmerman.