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The Stock Movers Report, your roundup of companies making moves in the stock market, harnessing the power of Bloomberg Data.
Well, let's take a look at some of the stocks on the move today in Europe. I'm te Ada Bay with Caroline Hapka, and we're joined by Bloomberg reporter Chloe Melly.
Chloe Abbyvas.
It's still plunging this morning after difficulties in a key drug trial. Can tell us more?
Yeah, a huge, huge drop for that biotech company this morning after what had been actually a really big rally that started last year. So it had this very promising drug to treat bowel disease inflammatory bow disease, and investors analysts had expected that this that there could be maybe big takeover offers to come after the trial results because it was that promising, with some names mentioned like Pfizer, AstraZeneca,
Eli Lilly as potential suitors. But now we have the trial results and it was more more effective than expected. But Abuve's also reported cancer cases in several patients, and it's worth noting that the cancers might not be related at all to the treatment itself, and the company said there was no evidence of a relationship there, but this still complicates that path to regulatory approval quite a bit, and so shares us thinking this morning very strongly on
the back of this and andless. I've been divided on what exactly this means for the company. Some are saying that it will be difficult to move past this. Others are saying that it's maybe more just noise than anything else. But this is going to be important for that sector because this inflammatory bower disease market is actually expected to grow very significantly, and it's considered to be a really major area of growth for Big Family, Big Farmer going forward as well.
Yeah.
Absolutely. I mean it comes in a week where there's been so much attention on cancer drugs, isn't it. I mean, Bloomberg's got a very interesting story about the drug to convert pancreatic cancer that's been so hugely successful Revolution Medicines, Inc. You know, and apparently this idea of molecular glue it could be a whole new world, couldn't it for cancer treatments. It's quite startling. Let's also think though about British American
tobacco accelerating its shift towards smoke free products. How investors reading that.
Yeah, So actually Beat shares are a little bit weaker this morning because consumers are still trading down and that's hurting margins. But I think what's more interesting in what you've just touched on is that Beauty is successfully managing that pivot away from cigarettes. And so one area that they're doing very well in is what it calls new category products. That includes three main things. There's the vapes with the Views brand, nicotine pouches to the Velo Plus brand,
and then heated tobacco sticks. So that's something called glow. And these new categories are growing much faster than expected and doing very well in the US market in particular actually, where there's really a booming market for nicotine pouches in particular, and in fact Beat is winning quite a lot of market share there against its main competitors in that space, and the main competitor being Philip Morris with what it has,
which is Zin pouches. But Vello isn't as bad for dry mouth apparently according to consumers, it has a bigger and nicotine hit as well, so it's winning over more and more consumers in the US and that will be more and more important for Beat as the global cigarette volumes continue to decline, actually even faster than expected, so it really needs that reinvention in that pivot towards towards those smoke free products.
Yeah, Clary, I noticed that you've titled business smoke Free Search in today's edition of the London Rush, so very appropriate there. But lastly, Ntain, what's the latest on the moves there this morning?
Yeah, very strongly for that company, extending gains from yesterday because MGM Resorts received a takeover offer and so MGM is Intain's partner in their joint venture called bet MGM, which it does online betting, and this is saying that a change of control at MGM could be a catalyst for Ntaine and could lead to maybe a new strategy
at BTMGM. Some even say it raises the possibility of a follow on transaction for that business, and so that could also be a boost for Retain, and that is quite important for that company because it's facing quite a few challenges. It's got new taxes in the UK and also the rise of prediction markets like polymarket, which creates this kind of new competition as well. So definitely a potential transaction.
To keep an eye on the stock Movers report from Bloomberg Radio. Check back with us throughout the day for the latest roundup of companies making news on Wall Street and for the latest market moving headlines. Listen to Bloomberg Radio Live, catch us on YouTube, Bloomberg dot com, and on Applecarplay and Android Auto with the Bloomberg Business app.