Penny Stocks To Watch #1: Assertio Holdings
Shares of Asssertio Holding (ASRT Stock Report) took off on Thursday. The company has a robust portfolio of branded prescription neurology, inflammation and pain medications. Much of the excitement around ASRT stock has been based on a pending merger. Last week, Assertio formally announced the closing of the merger with Zyla Life Sciences. The combined company will operate under the Assertio name.
According to the company, the merger creates a commercial pharmaceutical company with neurology, inflammation, and pain products. Assertio now has a differentiated portfolio of non-steroidal anti-inflammatory drugs. These are commonly used by neurologists, orthopedic surgeons, internists, and many other physicians. All eight products are branded, FDA-approved products according to Assertio. They will be managed by the company’s newly formed commercial team.
Why is ASRT stock jumping on Thursday? Well, there’s been no news posted. But a recent filing may reveal some information. In a filed 8K, the details show Assertio Holdings, Inc. has assumed $95 million of 13% senior secured notes issued pursuant to an indenture entered into on January 31, 2019 by and among Zyla Life Sciences. Among other details, this essentially confirms the merger deal with Zyla. Could this be the major catalyst behind the recent move or is there another cause for speculation? Either way, if ASRT stock is on your list, keep this in mind. So far, shares have climbed as high as $1.35 this month marking a move of over 100% for the month. To date, ASRT stock is up 78% with today’s $1.14 high.
