Did News of Dendreon's Provenge Results Leak the Day Before the Announcement?

Here’s an open question on Dendreon’s announcement Tuesday of positive results in its Provenge phase 3 studies: Did news of the results leak out among insiders on Monday, the day before the announcement?

Here’s a transcript from CNBC of Mike Huckman’s interview with CEO Mitchell Gold. (Unfortunately, it’s all in caps, apologies):

HUCKMAN: YESTERDAY YOUR STOCK WAS UP ABOUT 16% OR A BUCK OR SO ON HEAVY VOLUME. YOU DID NOT PUT OUT THE PRESS RELEASE UNTIL AFTER THE MARKETS CLOSED.YOU WERE GOING TO ANNOUNCE THE NEW DATA THIS MORNING. WAS THERE A LEAK?

DR GOLD: WE ARE NOT AWARE OF A LEAK  AND WE PUT THE RESULTS OUT IN A TIMELY FASHION.

Here’s the timeline of Dendreon stock activity:

• April 2: Bloomberg reports that Dendreon will release results at end of month. Stock rises 38 percent from $4.34 to $5.99.
• April 2 to April 13: Stock stays at around $6.30.
• Monday April 13: Stock rises 16 percent to $7.30. After trading, at 5.41 p.m., Dendreon puts out a statement that there will be an announcement regarding Provenge tomorrow.
• Tuesday April 14: Dendreon publishes positive news release in the morning. Stock ends the day at $16.98.

The day before the release, the bloggers at Schaeffer Research noted something unusual going on:

The stock is bid up more than 20% but there appears to be little in the way of news headlines crossing the wires this morning. Though, there is some chatter about a looming conference. It will be interesting to see what develops here.

The rest is history.

• See previous coverage of Dendreon:
• Dendreon Still Faces Hurdles for Provenge Despite Positive Phase 3 Data
• Dendreon: Pro-Provenge Activists Heap Abuse on Cancer Drug’s Critics
• Vultures Circle Dendreon Even Though Jury Is Still Out on Provenge