Raptor Pharmaceutical Corp. RPTP is a bio-pharmaceutical company that focuses on the development of treatment for people affected by various diseases, including nephropathic cystinosis in adults and children.
The stock was seeing some heavy buying action earlier this week on takeover chatter.
Reuters said on April 6 Raptor has consulted with investment bankers and financial advisers to explore a potential sale.
On Thursday, Bloomberg reported Retrophin, the company founded by Martin Shkreli, was said to be considering a takeover of Raptor Pharmaceutical.
Raptor's stock gained nearly 7 percent early Friday morning as traders and investors were likely confused by what appeared to be another positive development for the company.
The Virginian Pilot reported on a story that a company by the name Raptor Technologies won a contract to provide security systems to schools that taps into a national database to screen out registered sex offenders.
As pointed out on Benzinga's Market-Moving Exclusive's feed, the company has no relation whatsoever to Raptor Pharmaceutical, besides the 'Raptor' portion of the name.
It's possible that automated trading machines, which constantly scan available news sources, made the error of attributing Raptor Technologies' contract win with Raptor Pharmaceuticals.
Once it became clear there was no relationship between the companies, shares of Raptor Pharmaceuticals gave up most of its early morning gains and was down more than 4 percent after the opening bell.
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