G1 Therapeutics to halt drug trial in colon cancer, shares plunge
Feb 13 (Reuters) - G1 Therapeutics Inc (GTHX.O) said on Monday it would terminate a late-stage study of its lead drug as it was unlikely to be effective in extending survival in patients with a type of colorectal cancer, sending its shares plunging more than 50%.
The decision to discontinue the trial is a setback to the company's plans to expand use of the drug, which is already approved to decrease a side effect of chemotherapy, called myelosuppression, in some lung cancer patients.
G1 Therapeutics said the drug, trilaciclib or Cosela, showed lower efficacy in destroying or reducing tumor size in the late-stage study compared to placebo and was unlikely to meet the main goals of extending overall survival or the time a patient lives without the disease worsening.
The study was testing a combination of the drug administered along with chemotherapy and Roche's (ROG.S) Avastin in patients with a type of colorectal cancer.
Discontinuing the trial would help G1 Therapeutics save cash ahead of data from other trials, including from a study in breast cancer patients, and focus on driving sales of the drug in lung cancer, Chief Executive Officer Jack Bailey told analysts on a call.
The North Carolina-based drugmaker is studying the drug in other indications such as breast and bladder cancer. The drug brought in sales of $32 million in 2022.
Shares of the company, which had a market capitalization of about $361 million as of Friday's close, fell 53.4% to an all-time low of $3.32 in early trading.
Our Standards: The Thomson Reuters Trust Principles.