QLT: Stock up Almost 50% as RDA Removes Labeling Requirement for Aczone

QLT Inc. (QLTI) shares were up almost 50% in Monday afternoon trading after the United States Food and Drug Administration removed a labeling requirement for Aczone, QLT's topical acne drug, that forced potential users to undergo screening and blood monitoring.

Bob Butchofsky, president and chief executive officer of QLT said:

We are extremely pleased to report the FDA decision to change the Aczone label as it validates QLT's clinical, regulatory and commercialization strategy for this product. Management believed in the product and took the necessary steps to address the FDA's needs, ultimately dramatically enhancing the value of Aczone.

QLT said it will now proceed with plans to sell the $100-million product as part of a massive restructuring announced in January that will return the company to its core eye treatment business.