The presumed advantage of YMI's drug, CYT387, is its ability to minimize one of the most troubling problems of myelofibrosis, anemia and RBC transfusion requirement. However, at the current ASH meeting, INCY presented abundant data that erythopoietic stimulating agents such as Prorit, could safely be used to supplement Jakafi treatment for patients with a transfusion requirement. Hence, the potential advantage of the YMI drug has essentially been nullified. I say this as a hematologist with 40+ years experience. I regart the current drop in INCY as a terrific buying opportunity.
The big question for the GILD (formerly YMI) candidate is the neuropathy signal in early testing. If that persists, FDA is going to be VERY difficult (ever since Thalidomide was kept out of the US due to a neuropathy signal, it has had particular resonance). Design of a p3 is going to be a challenge anyway, as many centers will require (for ethical reasons) that patients have the option to switch to BAT (guess what?) after six weeks or so.
In any event, the fate of Incyte figures to be decided before this candidate reaches the market.
You are spot on with the detection of the neuropathy signal that CYT387 exhibits. Jakafi has a much cleaner side effect profile and is more effective in spleen shrinkage. The 10mg Jakafi dosing is proving to be almost as effective as 15 or 20mg and practically eliminates any anemia advantage for CYT387
They found what they thought was a reason to run this down...valuation compared to what? The reality is it will now become more of a take-over target with a drug already on the market and a pipeline that has serious potential. So now the question is for how much and will it be sooner vs. later. I'm betting on the smart "late" money.