BMO sees Replimune rallying meaningfully on Prasad exit

BMO Capital analyst Evan Seigerman views the exit of Vinay Prasad, director of the FDA’s Center for Biologics Evaluation and Research, as a positive for the biopharma sector. A new director will “likely be more permissive of innovation than what we have seen to date,” the analyst tells investors in a research note. BMO expects Replimune (REPL) to rally meaningfully on the news. The stock in morning trading is up 86%, or $3.22, to $6.97 in morning trading. The firm says, however, that it remains uncertain whether Replimune’s denial of RP1 will be reconsidered with a new CBER director.