Labopharm shares surge after interview on drug approvals

Shares of Canadian pharma company Labopharm spiked 20 percent on May 8 after Reuters exclusively reported upbeat CEO comments about the chances of U.S. regulatory approval for two of its treatments. CEO James Howard-Tripp said in an interview the Montreal-based company expects a response from the U.S. Food and Drug Administration on its depression treatment, Trazodone, in mid-July. It is also seeking approval in the United States, Canada and Europe for its Tramadol-acetaminophen pain combination. The stock, which had fallen almost 40 percent this year after regulatory setbacks, jumped 13.6 percent shortly after the interview. By the end of the day the shares had risen nearly 20 percent. They surged further the following day. Neither Bloomberg nor Dow Jones Newswires matched the story.