Nov 15 (Reuters) - Vanda Pharmaceuticals Inc (VNDA.O) said the Internal Revenue Service (IRS) gave a ruling that allows it to offset a portion of its 2010 taxable income with its net operating loss carryforwards, sending shares up 14 percent.
It believes the private letter received from IRS will support its position that its net operating loss carryforwards on Dec. 31, 2009 can be fully utilized in 2010, Vanda said.
Total net operating loss carryforwards were $156 million as of Dec. 31, 2009.
Rockville, Maryland-based Vanda’s shares, which have fallen 3 percent since it posted its third-quatrer results in November, were up 14 percent at $8.76 on Monday on Nasdaq. (Reporting by Shravya Jain in Bangalore; Editing by Prem Udayabhanu)