Neurotrope Inc (NASDAQ: NTRP) is making a run for the top in the market this morning. The more than 19% gains come after the company announced plans to review strategic alternatives. Here’s what’s happening:
NTRP Stock Rockets On Strategic Alternatives Exploration
In a press release issued early this morning, Neurotrope announced that it will be exploring strategic alternatives. As with just about every strategic alternative exploration I’ve seen, the goal is to maximize shareholder value.
In the release, NTRP said that as of August 7, 2019, it had about $20.8 million in cash on hand. It also said that there can be no assurance that the review will lead to a transaction and that it will not comment on developments unless and until the Board of Directors approves an alternative.
There were no specific plans announced with regard to the exploration. In a statement, Dr. Charles S Ryan, CEO at NTRP, had the following to offer:
Following the results from our Phase 2 study of Bryostatin-1 in Alzheimer’s disease, we believe a review of strategic alternatives is an important step toward preserving and enhancing shareholder value. The Board of Directors has formed a strategic alternatives committee to aid in evaluating the Company’s alternatives, and we look forward to providing an update when appropriate.
Here’s Why Investors Are So Excited
The truth of the matter is that any strategic alternative exploration is generally exciting for investors. In general, the companies that explore these alternatives are stuck between a rock and a hard place financially and are actively seeking ways to improve conditions for shareholders.
Here are a few reasons that investors are excited in this particular case.
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