Vertex shares rise on hepatitis C drug detail
Wednesday September 24, 5:44 pm ET
Vertex Pharmaceutical shares rise on midstage study detail for hepatitis C drug candidate
NEW YORK (AP) -- Shares of Vertex Pharmaceuticals Inc. rose Wednesday after the biotechnology company provided details that reaffirmed prior positive study results for its hepatitis C drug candidate telaprevir.
The stock gained $4.36, or 16 percent, to $31.66. Shares have traded between $13.84 and $39.48 over the past 52 weeks.
On Wednesday, the company said 85 percent of patients taking telaprevir twice a day with the drugs Pegasys and Ribavirin had undetectable levels of hepatitis C after four weeks, while 68 percent of those taking the drug with Peg-Intron and Ribavirin had undetectable levels. Taking the drug three times daily, the percentages were 82 percent for the Pegasys combination and 71 percent for the Peg-Intron combination, respectively. The midstage study involves 161 people.
The data were released to correct a mistake being published in the October supplement of the journal Hepatology. It will also be presented at the American Association for the Study of Liver Diseases' meeting in November.
Hepatitis C is a liver disease estimated to affect about 170 million people globally.
In August, the company said interim data showed that greater than 80 percent of patients in both portions of the study with Pegasys had undetectable levels of hepatitis C.
Citi analyst Dr. Yaron Werber reaffirmed a "Hold" rating and $41 price target on Vertex's stock, saying the positive data was expected.
"This data is overall in line with our expectations and signal that this market will be highly competitive over the long-term, albeit telaprevir has a two to three year lead," he said in a note to investors.
Schering-Plough Corp. makes Peg-Intron, and Roche makes Pegasys. Ribavirin is a generic drug made by several companies.
Meanwhile, Johnson & Johnson and Medivir are developing a hepatitis C drug, along with Boehringer Ingelheim, posing possible competitive threats.
surf's up......crikey
