ImmunoGen Inc.’s (IMGN) share price slumped around 19% on Nov 5, 2013, to close the trading session at $13.41. ImmunoGen’s shares tumbled after the company announced its decision to stop a phase II study on IMGN901.
MGN901, developed for the treatment of small-cell lung cancer (:SCLC), uses the company’s antibody-drug conjugate (ADC) technology.
The study was discontinued after an independent Data Monitoring Committee (:DMC) announced that the combination of IMGN901 and etoposide/carboplatin (E/C) failed to demonstrate sufficient improvement in progression-free survival compared to E/C alone. A disparity in the rate of infection and infection-related deaths was observed between the two arms following which the DMC recommended all patients to discontinue treatment with IMGN901.
The company now intends to review the findings from the study and decide on the candidate’s future plans. The discontinuation of the study comes as a huge disappointment. The company has several pipeline related events lined up in the forthcoming quarters. Any more pipeline setback will weigh heavily on the stock.
Apart from IMGN901, ImmunoGen has IMGN853, IMGN529 and IMGN289 in its pipeline that using its ADC technology. IMGN853 is being developed for the treatment of ovarian, endometrial and other cancer forms, whereas IMGN289 is being developed for the treatment of lung, head and neck, and other cancer forms. Meanwhile, IMGN529 is being developed for the treatment of non-Hodgkin lymphoma.
ImmunoGen presently carries a Zacks Rank #3 (Hold). However, stocks such as Actelion Ltd. (ALIOF), Isis Pharmaceuticals, Inc. (ISIS) and AMAG Pharmaceuticals, Inc. (AMAG) look better positioned with a Zacks Rank #1 (Strong Buy).