Biopharmaceutical group Favrille Inc. shares slumped near 90 percent on Tuesday after the company said it will stop the development of its lead cancer drug, Specifid, as it failed to meet a strategic goal in a late stage trial.
Favrille said the study of Specifid which was a potential treatment for patients with follicular B-cell-non-Hodgkin's failed to show significant improvement during a Phase III trial started in July 2004 conducted at 67 centers in the U.S. with 349 patients.
Patients of the treatment arm took Rituxan , then Specifid and finally Leukine while patients in the control arm took placebo, Leukine following Rituxan. The company reported that the time of progression the primary endpoint of the trial failed to show a statistically significant improvement in the treatment arm.
Based on these results, we are discontinuing development of Specifid and are currently evaluating steps to conserve cash and recognize value on our assets. said John P. Longenecker, Ph.D., President and Chief Executive Officer of Favrille in a statement on the company's website.
Shares of Favrille slumped as much as 87.41 percent and were trading at 22 cents on Tuesday in Nasdaq.