In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to start the week with a solid gain. At the time of writing, the benchmark index is up 0.7% to 7,393.6 points.
Four ASX shares that have failed to follow the market higher today are listed below. Here’s why they are falling:
Limeade Inc (ASX: LME)
The Limeade share price is down 12.5% to 69 cents. Investors have been selling this HR technology company’s shares after it lost a major contract. The US$1.9 million a year deal with American Airlines will terminate on 1 January. Limeade said the US$14 billion airline group was ending the contract due to cost-cutting.
Paradigm Biopharmaceuticals Ltd (ASX: PAR)
The Paradigm share price is down over 4% to $2.01. This morning the biopharmaceutical company’s US clinical trial plans were hit with a further delay by the US FDA. The regulator has requested modifications to the company’s adrenal screening and mitigation plan for its Investigation New Drug (IND) submission for pentosan polysulfate sodium (PPS) to treat knee osteoarthritis.
Sandfire Resources Ltd (ASX: SFR)
The Sandfire share price is down 12.5% to $5.44. This morning the copper miner announced the successful completion of the institutional component of its equity raising. Sandfire has raised $926 million at $5.40 per new share, which represents a 13.2% discount to its last close price. These funds are being used to acquire the Matsa mining complex in Spain.
Vita Group Limited (ASX: VTG)
The Vita share price is down 3% to 85.5 cents. This decline appears to have been driven by a broker note out of Ord Minnett. According to the note, the broker has downgraded the retailer’s shares to a hold rating and cut the price target on them by 16% to 93 cents. This follows news that the company is selling its ICT stores to Telstra Corporation Ltd (ASX: TLS)