Alvotech (Nasdaq: ALVO) and Islandsbanki renewed and amended their market making agreement for ALVO shares on Nasdaq Iceland. Islandsbanki will place bid and ask quotes with an aggregate market value of at least ISK 8 million and a maximum spread of 2.5%. The daily net trading volume is capped at ISK 16 million. The amended, open-ended agreement was executed on May 29, 2026, and can be terminated by either party with 7 days’ notice.
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Positive
Minimum ISK 8 million in daily ALVO market maker quotes
Maximum 2.5% bid-ask spread target for ALVO shares
Open-ended agreement with renewed market making commitment
Negative
Daily net trading volume by market maker capped at ISK 16 million
Agreement can be terminated on only 7 days’ prior notice
News Market Reaction – ALVO
-4.17%
4 alerts
-4.17%Session close to close
$935.77MMarket Cap
1.5xRel. Volume
In the Jun 1 session, ALVO declined 4.17%, reflecting a moderate negative market reaction.
Our momentum scanner triggered 4 alerts that day, indicating moderate trading interest and price volatility.
This announcement outlines a renewed market-making agreement designed to support trading liquidity a...
Analysis
This announcement outlines a renewed market-making agreement designed to support trading liquidity and tighter pricing in Alvotech’s shares, with minimum quote value of ISK 8 million and a maximum 2.5% spread. In context, the stock had already been trading well below its 52-week high and under its 200-day MA. Investors monitoring this name may focus on how improved order-book depth interacts with upcoming regulatory, financial, and pipeline milestones disclosed in recent filings.
Key Figures
Minimum quote value:ISK 8 millionQuote refresh limit:15 minutesMaximum spread:2.5%+3 more
6 metrics
Minimum quote valueISK 8 millionAggregate market value of bid and ask quotes before daily trading
Quote refresh limit15 minutesMaximum time to refresh quotes after full execution
Maximum spread2.5%Cap on bid-ask spread based on volume weighted average quotes
Daily net volume capISK 16 millionMaximum daily net traded volume for market maker
Agreement execution dateMay 29, 2026Date amended market-making agreement was executed
Termination notice7 daysPrior notice required by either party to terminate agreement
Form 20-F filing detailing 2025 results and risk disclosures.
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Pattern Detected
Recent news often saw sizeable price swings in both directions, with earnings drawing a negative reaction while regulatory and corporate updates skewed positive.
Recent Company History
Over the past months, Alvotech’s news flow has included regulatory, financial and leadership updates. A May 11, 2026 FDA surveillance inspection update saw shares gain 10.12%. Q1 2026 results on May 6 triggered a -10.36% move. An April 30 executive-team change coincided with a 3.59% rise, while an April 24 earnings-date notice had a flat reaction. Filing the 2025 Form 20-F on March 30 was followed by a 4.26% increase, showing investors responding most to regulatory and results-heavy disclosures.
Key Terms
market making agreement, market maker, bid and offer price, bid and ask quotes, +2 more
6 terms
market making agreementfinancial
"renewed and amended their existing market making agreement"
A market making agreement is a contract that hires a firm to continuously buy and sell a stock to ensure there are ready buyers and sellers. Think of it like a shopkeeper who keeps items on the shelf so customers can buy or return them at fair prices; for investors this improves liquidity, narrows the gap between buy and sell prices, and helps trading remain orderly rather than erratic.
market makerfinancial
"As a market maker, Islandsbanki will post bid and ask quotes"
A market maker is a firm or individual that stands ready to buy and sell a particular stock or other security throughout the trading day, posting prices at which it will transact so buyers and sellers can trade quickly. Think of it as a shopkeeper who keeps inventory and posts prices to ensure someone can always buy or sell; this reduces delays, narrows price swings, and helps investors execute trades at fairer, more predictable prices.
"with a fixed spread between the bid and offer price"
The bid price is the highest amount a buyer is willing to pay for a share or bond, while the offer (or ask) price is the lowest amount a seller will accept. Think of it like a marketplace where one person holds up a price they’ll pay and another holds up the price they’ll sell for; the gap between them affects how easily and cheaply investors can trade and indicates market demand and liquidity.
bid and ask quotesfinancial
"post bid and ask quotes on the Exchange with an aggregate market value"
Bid and ask quotes are the highest price buyers are willing to pay (bid) and the lowest price sellers are willing to accept (ask) for a stock or other security at a given moment. The difference between them, called the spread, shows how easy or costly it is to trade — like a buyer offering $9 and a seller asking $11 for the same used car; a narrow gap means cheaper, faster trades and less risk that your order will move the market, while a wide gap can signal low interest or higher trading costs.
volume weighted averagetechnical
"spread between bid and ask quotes is 2.5%, calculated as the volume weighted average"
A volume weighted average is an average that gives more weight to values accompanied by larger quantities—so higher-volume trades or measurements pull the average closer to the prices where more activity happened. For investors, it reveals the price level that most trading actually supported, helping judge whether a trade or price move was driven by substantial participation or by a few small trades, much like averaging grades where final exams count more than short quizzes.
spreadfinancial
"The maximum spread between bid and ask quotes is 2.5%"
Spread is the difference between two related prices, rates or yields — most commonly the gap between what buyers are willing to pay and what sellers are asking. Investors watch spreads because a wider gap can signal higher transaction costs, lower market liquidity or greater perceived risk, while a narrower gap suggests cheaper trading and closer agreement on value; think of it like the space between a car’s listed price and the offer a buyer makes, which affects how easy and costly a deal will be.
REYKJAVIK, ICELAND (June 1, 2026) — Alvotech (Nasdaq: ALVO) and Islandsbanki have renewed and amended their existing market making agreement. According to the agreement, Islandsbanki places bids and offers for ALVO shares trading on the Nasdaq Iceland Main Market (the “Exchange”) for a minimum amount with a fixed spread between the bid and offer price.
The objective of the market-making agreement is to increase trade in Alvotech’s shares, liquidity and transparent price formation.
As a market maker, Islandsbanki will post bid and ask quotes on the Exchange with an aggregate market value of at least ISK 8 million prior to the start of daily trading. Both the bid and ask quotes shall be refreshed as soon as possible but no later than 15 minutes after being executed in full. Islandsbanki aims to maintain more than one bid and/or ask quote for Alvotech’s shares such that the total market value of outstanding quotes is at least ISK 8 million at all times, but the bank is not obligated to maintain multiple bid or ask quotes. Islandsbanki also reserves the right to post additional bid and ask quotes even if existing quotes remain unexecuted.
The maximum spread between bid and ask quotes is 2.5%, calculated as the volume weighted average of the bid and ask quotes for Alvotech’s shares posted by Islandsbanki as market maker at any given time. The daily net volume of trades by Islandsbanki as a market maker in Alvotech’s shares shall be limited to ISK 16 million. This amount is calculated as the difference between bids and asks by Islandsbanki that have been executed in full. When the maximum amount is reached, Islandsbanki is under no further obligation during that day to post either a bid or ask quote, depending on which side has been filled. Once a quote on the opposite side is executed and the daily net volume falls below the ISK 16 million mark, the market maker’s obligation to post bid and ask quotes is restored.
The amended agreement was executed on May 29, 2026, and has no fixed term. Each party has the right to terminate the agreement by giving a 7-day prior notice.
About Alvotech
Alvotech is a biotechnology company, founded by Robert Wessman, focused solely on the development and manufacture of biosimilar medicines for patients worldwide. Alvotech seeks to be a global leader in biosimilars by delivering high-quality, cost-effective products and services, enabled by a fully integrated approach and broad in-house capabilities. Five biosimilars are already approved and marketed in multiple global markets, including biosimilars to Humira® (adalimumab), Stelara® (ustekinumab), Simponi® (golimumab), Eylea® (aflibercept) and Prolia®/Xgeva® (denosumab). The current development pipeline includes nine disclosed biosimilar candidates aimed at treating autoimmune disorders, eye disorders, osteoporosis, respiratory disease, and cancer. Alvotech has formed a network of strategic commercial partnerships to provide global reach and leverage local expertise in markets that include the United States, Europe, Japan, China, and other Asian countries and large parts of South America, Africa and the Middle East. For more information, please visit https://www.alvotech.com. None of the information on the Alvotech website shall be deemed part of this press release.
ALVOTECH INVESTOR RELATIONS AND GLOBAL COMMUNICATIONS Benedikt Stefansson, VP alvotech.ir@alvotech.com
FAQ
What did Alvotech (ALVO) announce about its market making on Nasdaq Iceland on June 1, 2026?
Alvotech announced it renewed and amended its market making agreement with Islandsbanki for ALVO shares. According to Alvotech, Islandsbanki will continue providing quotes on Nasdaq Iceland to support trading liquidity and transparent price formation under updated size, spread, and volume terms.
How does the Islandsbanki market making agreement affect ALVO share liquidity on Nasdaq Iceland?
The agreement is designed to support liquidity in ALVO shares by ensuring continuous bid and ask quotes. According to Alvotech, Islandsbanki must maintain at least ISK 8 million in quotes with a maximum 2.5% spread, subject to a daily ISK 16 million net volume cap.
What are the key terms of the renewed ALVO market making agreement with Islandsbanki?
Key terms include a minimum ISK 8 million aggregate quote value and a 2.5% maximum spread. According to Alvotech, daily net trading volume as market maker is limited to ISK 16 million, and the agreement is open-ended with a 7-day termination notice.
When did the amended Alvotech (ALVO) and Islandsbanki market making agreement take effect?
The amended market making agreement between Alvotech and Islandsbanki was executed on May 29, 2026. According to Alvotech, the agreement has no fixed term and can be terminated by either party with seven days’ prior written notice.
What quote size and spread will Islandsbanki maintain for Alvotech (ALVO) shares on Nasdaq Iceland?
Islandsbanki will maintain bid and ask quotes totaling at least ISK 8 million with a maximum 2.5% spread. According to Alvotech, quotes must be refreshed within 15 minutes after full execution to help support trading continuity.
What is the daily net trading volume limit for Islandsbanki as market maker in ALVO shares?
The daily net volume of trades by Islandsbanki as market maker is limited to ISK 16 million. According to Alvotech, once this limit is reached, Islandsbanki has no further obligation that day until net volume falls below the cap.
