Antisoma shares plunge after latest cancer drug setback
Tuesday 01 February 2011
Antisoma suffered a blow last night after it revealed that a key acute leukaemia drug had failed in a final-stage clinical trial.
The biotech firm said it had also halted the development of another cancer treatment after early data from an ongoing penultimate-stage trial showed that the result was likely to be inconclusive.
The news triggered a sharp sell-off in Antisoma's shares, which closed at 2.2p, down more than 64 per cent. The decline leaves the firm valued at around £14m.
Glyn Edwards, Antisoma's chief executive, said the company had not seen a benefit with the AS1413 leukaemia treatment. "This is hugely disappointing for patients, investigators, investors and employees" he said. "We will now become smaller and focus on maximising the value of our other programmes."
Paul Cuddon at the Peel Hunt brokerage said the developments meant that "other than a £23m cash balance, which is continuing to decline, there are few assets left to value in the Antisoma pipeline".
He warned: "Other than 3.5p of cash, which we anticipate will fall to 2p, little value remains in Antisoma, and sadly we fail to see an ongoing future."
Samir Devani at Nomura Code Securities said the failure of the AS1413 final-stage trial was "not a huge surprise" as he had only assumed a 30 per cent chance of success.
The setback did, however, have a "major impact" on Antisoma's valuation, he added.
"We expect the company to go into cash-conserving mode and anticipate a significant restructuring in the near-term," he explained.
The latest setback comes less than a year after Antisoma's key lung cancer drug, ASA404, failed in March.
- 1 Finland schools: Subjects scrapped and replaced with 'topics' as country reforms its education system
- 2 The West has it totally wrong on Lee Kuan Yew
- 3 #FreeTheNipple: Women in Iceland bare breasts in solidarity with trolled student
- 4 Scientists have discovered a simple way to cook rice that dramatically cuts the calories
- 5 Zayn Malik quits One Direction: Hundreds of workers request compassionate leave following band member's exit
Germanwings captain Patrick Sondenheimer tried to break into locked cockpit door 'with an axe' as plane was descending
Amanda Knox murder conviction: Italian court overturns verdict for US student and Raffaele Sollecito in the killing of Meredith Kercher
Saudi Arabia says it won't rule out building nuclear weapons
The battle for the Middle East's future begins in Yemen as Saudi Arabia jumps into the abyss
#FreeTheNipple: Women in Iceland bare breasts in solidarity with trolled student
Nigel Farage brands LGBT activists 'filth' and 'scum' and accuses them of scaring away his children after they invade his local pub
Ukip supporters are 55 or older, white and socially conservative, finds British Social Attitudes Report
JK Rowling responds to fan tweeting she 'can't see' Dumbledore being gay
Russia threatens Denmark with nuclear weapons if it tries to join Nato defence shield
Jeremy Clarkson sacked live: Alan Yentob 'wouldn't rule out' ex Top Gear host's BBC return
Germanwings plane crash live: Co-pilot Andreas Lubitz wanted to 'do something people would remember him for'
iJobs Money & Business
Negotiable: Recruitment Genius: To provide a prompt, friendly and efficient se...
Negotiable: Recruitment Genius: You will be the first point of contact for all...
£18000 - £24000 per annum + benefits: Ashdown Group: HR, Payroll & Benefits Of...
£35000 - £38000 per annum + benefits : Ashdown Group: A highly successful, int...