Shares of Evotec SE (EVO) tumbled 9.57% in pre-market trading on Wednesday following the release of disappointing third-quarter results and news of an asset sale. The German biotech company faced a double whammy of negative news, triggering a significant sell-off among investors.

Evotec reported quarterly losses of $0.14 per share, meeting analyst expectations but representing a 16.67% decline from the same period last year. More concerning was the company's revenue, which came in at $191.62 million, missing the analyst consensus estimate of $237.32 million by a substantial 19.26%. This also marked a 5.71% decrease from the previous year's sales, indicating potential challenges in the company's core business operations.

Adding to investor concerns, Evotec announced the sale of its Just – Evotec Biologics Toulouse site to Sandoz (SDZNY). While the company framed this as a successful transaction, it may have raised questions about Evotec's strategic direction and future growth prospects. The combination of weak quarterly results and the divestment of assets appears to have shaken investor confidence, leading to the sharp pre-market decline in Evotec's stock price.