Adamas' Stock Soars After Dementia Treatment Approval

Shares of Adamas Pharmaceuticals shot up 16% in premarket trade Wednesday, after the company and development partner Actavis said the new drug application for Namzaric for the treatment of Alzheimer's-type dementia was approved by the U.S. Food and Drug Administration. Adamas said the drug is expected to be launched by Actavis in 2015. Namzaric combines in one capsule, two complementary therapeutic agents that are often co-prescribed. Actavis' stock was still untraded ahead of the open. Adamas' shares, which started trading publicly on April 10, closed Tuesday at $14.65, or 8.4% below the initial public offering price of $16.