Cerus Shares Drop to 6-Year Low

Cerus shares fell to their lowest level since October 2011 on Tuesday after the biomedical products company said it now expects 2017 product revenue between $38 million and $46 million, down from the previous range between $43 million and $48 million and below the $43.4 million consensus from analysts polled by Capital IQ.

CERS was down 19% at $2.44 recently, trading in a new 52-week range between $2.34 and $7.64. The lowered guidance comes after Cerus was notified there will be a US supply shortage of a platelet additive solution (PAS) manufactured and sold by Fresenius Kabi due to an unanticipated delay in Food and Drug Administration approval of a plastic component used in the manufacture of the PAS container. Fresenius Kabi’s supplier discontinued making the original component.