Avista Corp (NYSE:AVA) shares sank Thursday morning after the company announced that its sale to a Canadian electric utility was rejected by regulators. A Washington state regulator turned down electric utility Hydro One Ltd's proposed acquisition of rival Avista. The regulator said the deal would not protect Avista or its customers from political and financial risk. Hydro One proposed to buy Avista for C$6.7 billion (US$5.02 billion) in 2017 in a bid to enter the US Northwest market.
Shares of Avista dropped 14.6% to $43.86 in the morning trading.
Vanda Pharmaceutical Inc (NASDAQ:VNDA) climbed on investor optimism after the company reported positive results the past few days for its treatment of idiopathic and diabetic gastroparesis. The company's drug, tradipitant, would be the first new drug for gastroparesis in almost 40 years. The drug met its primary endpoint in Phase 2 studies announced earlier in the week. The reaction to the news was delayed by the closure of the market on Wednesday for the funeral of former US President George H.W. Bush.
Shares of Vanda climbed 13.6% to $32.89 in pre-market trade before giving back gains after the bell.
READ: AcelRx shares pop on FDA approval of opioid pain treatment Dsuvia
The Michaels Companies Inc (NASDAQ:MIK) stock rose after earnings and revenue for the third quarter topped estimates and the company raised its guidance. Earnings per share hit $0.48, compared with expectations of $0.44, and revenue for the arts and craft store operator hit $1.27 billion, slightly above the expected $1.25 billion. Management said it has updated fiscal 2018 adjusted earnings per diluted share guidance to $2.35 to $2.39 from $2.29 to $2.42.
Shares were up almost 6% in the premarket to $17.40 before reversing to $15.76, a 4% loss.
Lumentum Holdings Inc (NASDAQ:LITE) stock declined as the market reacted negatively to news that a Huawei executive was detained by Canada for possible extradition to the US because of violations of sanctions against Iran. Lumentum recently received antitrust clearance from China for its $1.7 billion acquisition of Oclaro Inc. The company is seen by analysts as a supplier of Apple Inc (NASDAQ:AAPL) Face ID Technology.
Lumentum shares fell 3.3% to $43.63 in morning trading.
Contact Rene Pastor by rene.pastor@proactiveinvestors.com