(Recasts, adds details, share movement)
March 17 Nuvelo Inc NUVO.O said it would end
further clinical development of its experimental blood clot
dissolver alfimeprase after the drug failed a mid-stage trial,
sending its shares down sharply.
Shares of the biotechnology company, which said it would
cut about 40 jobs as part of a reorganization, dropped more
than 50 percent in trading after the bell. They had closed at
$1.36 Monday on Nasdaq.
Nuvelo, which is cutting its workforce for the second time
since last August, expects restructuring charges of about $3.0
million in the first quarter of 2008.
Operating expenses for the year are expected to be in the
range of $47 million to $52 million.
The mid-stage trial, which was evaluating alfimeprase in
catheter occlusion, did not show sufficient improvement in
catheter opening at the higher dose and concentration, the
Alfimeprase had received a fast track status from the U.S.
health regulators last December for the treatment of acute
Ischemic stroke occurs when a blood vessel that carries
oxygen and nutrients to the brain becomes blocked by a blood
Nuvelo said it has ended further clinical development of
alfimeprase, including its programs in catheter occlusion and
acute ischemic stroke.
Michael Levy, executive vice president of research and
development, would be leaving the company as part of the
reorganization, it added.
(Reporting by Esha Dey in Bangalore; Editing by Deepak