Feb 14 Aveo Oncology and Astellas
Pharma Inc said they would end an agreement to develop
Aveo's lead experimental drug that has seen a string of failures
in multiple cancer indications.
Aveo, which cut 62 percent of its workforce last year to
focus on developing the drug, tivozanib, as a treatment for
breast and colon cancers, said in December that the drug was not
likely to succeed in a mid-stage trial testing its use in colon
The companies said on Friday they would discontinue the
A mid-stage trial testing tivozanib as a treatment for
breast cancer was stopped last month due to insufficient
Tivozanib was rejected by U.S. health regulators in June for
use in kidney cancer, citing inconsistent study
The termination of the collaboration will be effective Aug.
11, after which Aveo will retain the rights to the drug, the
companies said in a statement.
The two companies had signed a worldwide agreement to
develop and market tivozanib outside of Asia for the treatment
of a broad range of cancers in February 2011.
Cambridge, Massachusetts-based Aveo's shares have lost
nearly 7 percent of their value since Dec. 13, when the company
said the drug was unlikely to succeed as a treatment for colon
cancer. The stock closed at $1.75 on the Nasdaq on Thursday.