Alimera (Nasdaq:ALIM), pSivida (Nasdaq:PSDV) Hammered on FDA Decision

Shares of Alimera (Nasdaq:ALIM) and pSivida (Nasdaq:PSDV) are getting crushed today on news the FDA won't approve their drug Iluvien for the treatment of diabetic macular edema, until further clinical data analyses is completed.

Diabetic macular edema is the leading cause of blindness in diabetics.

Both companies are involved because Alimera has licensed Iluvien from pSivida. If and when Iluvien is approved, pSivida would received royalties on sales.

Alimera was trading at $10.20, down $1.02, or 9.09 percent, as of 12:16PM EST PSivida was trading at $4.95, down $1.41, or 22.17 percent.