Why Sorrento Therapeutics Stock Crashed Today
What goes up usually comes down, and that's exactly what happened with Sorrento Therapeutics (NASDAQ: SRNE) today. Shares of Sorrento were crashing 30.4% as of 3:38 p.m. ET on Wednesday after soaring more than 60% on Tuesday.
Sorrento's huge surge yesterday came after the company announced that a court granted interim approval for a $75 million loan from JMB Capital Partners. Assuming this decision is finalized, Sorrento will be able to continue normal business operations during its bankruptcy process. However, investors today appeared to realize that the prospect of additional cash doesn't change anything about Sorrento's challenges.
There's not much good news for Sorrento these days. The small drugmaker is embroiled in a legal battle with NantCell. After losing in court in December 2022, Sorrento filed for Chapter 11 bankruptcy.
Source Fool.com
