SEQUENOM (SQNM) crashed in after-hours trading after the company announced the expected start of its genetic test for Down syndrome would be delayed because the company discovered that employees mishandled research and development test data and results. This comes just one week after SQNM axed 30 employees from its Genetic Analysis business.

The stock was in a nosedive after-hours, down $10.24 (68.6%) to $4.67 6:20PM EST.

SQNM also said it has formed a special board committee to oversee an independent investigation of the employees’ activities although the company did not give details about about how the data was “mishandled.” The “mishandled data” seems to have broader implications for the company because it said it is also reviewing data for other products as a result of the “mishap.”

SQNM’s statement read:

“The company believes that its Down syndrome program has suffered a temporary setback but that the Sequredx technology is scientifically and technically sound. Sequenom believes that it has the financial resources to commercialize its test for Down syndrome and other prenatal disorders. Although the company is not aware of any potentially inappropriate activity related to the reported results of its other tests under development, the company is currently reviewing the data for all tests.”

The test of interest is called SEQureDx and had previously been scheduled to launch in June. The company will now wait until additional data from an ongoing study is published in a peer-reviewed journal to launch the test.

More investors screwed again!!!!

We also wonder if the axes have anything to do with the employees screwing up? Did SQNM know about this earlier? Are the two related? Thoughts?

Image from monster

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