IDM Pharma, Inc. (IDMI)

[bowonwing]

ot. Synta suspends late-stage study on safety concerns. snta @$1.36; -$5.03
Synta Pharmaceuticals suspends late-stage study for potential cancer drug on safety concerns
Thursday February 26, 2009, 6:12 pm EST
LEXINGTON, Mass. (AP) -- Synta Pharmaceuticals Inc. said Thursday it is suspending a late-stage study of its cancer drug candidate elesclomol over safety concerns, including a higher number of deaths in patients taking the drug.

The decision was made based on an analysis by an independent data monitoring committee, the company said, and has also prompted the suspension of other studies using the drug.

The shares plummeted $4.64, or 73 percent, to $1.75 in after-hours trading following the statement. The stock lost 8 cents to close at $6.39 during the regular trading session.

The SymmetrySM study compares the benefit of elesclomol in combination with the cancer treatment paclitaxel versus only using paclitaxel for late-stage metastatic melanoma patients. Melanoma are tumors mainly found in the skin.

The company is also suspending a prostate cancer study that uses the drug candidate.

"Our first concern is for the safety of patients, and therefore we acted promptly to halt the Symmetry trial once it was evident that there were serious safety concerns," said Chief Medical Officer Dr. Eric Jacobson.

The company said it will be in discussions with partner GlaxoSmithKline about the next move for development of elesclomol.

Comment: snta was @$9 a share in January, >$350M market cap.
To compare: idmi @$10 a share would be <$300M market cap.