Well, you can see why they call some of these pharmaceutical companies widow makers. After poor results for their cancer drug Keryx shares were taking out to the wood shed and chopped down nearly 70%. That’s not something anyone wants to wake up to on a Monday morning, unless you got some insider information and were short the stock, but then you’ve got some problems with the SEC.
Keryx Biopharmaceuticals Inc (KERX) and Aeterna Zentaris said their experimental drug for colorectal cancer did not meet the main goal of prolonging survival in a late-stage trial.
Shares of Keryx lost two-thirds of their value and fell to a nearly two-and-a-half-year-low of $1.63 in early trade on Monday to become the biggest percentage loser on Nasdaq. It was the most traded stock on the exchange.
Aeterna’s stock tanked 67 percent to a two-year-low of 69 Canadian cents on the Toronto Stock Exchange.
The 468-patient trial showed that the companies’ drug, KRX-0401 (perifosine), failed to improve overall survival in patients with refractory advanced colorectal cancer when compared with the control arm.
The drug is also being tested in patients with multiple myeloma.
Full story is here.