UPDATE: Citigroup Downgrades Anthera Pharmaceuticals to Hold

Citigroup reduces its rating on Anthera Pharmaceuticals

to Hold from Buy as it believes current share price is significantly above fair value. Price value is reduced from $11 to $3 per share. Citigroup notes, "We are downgrading to a Hold based on our expectations that the stock will open up at $2-$3 share Monday, and our valuation analysis that suggests that Anthera is worth 2x net cash, or ~$3/share. The stock was halted on Friday at $6.42/share. We are surprised and disappointed that the VISTA-16 ph 3 trial of varespladib failed on this interim analysis in ACS. This interim analysis did not include a futility analysis. Hence, this is unexpected. But the DSMB thought there is no benefit conferred by the varespladib arm and recommended stopping the study for lack of success." ANTH closed at $6.42 a share Friday.