Phase III combo trial failure wipes $4 billion off Incyte's value

7 April 2018

The promising outlook for immuno-oncology (I-O), and one of its players, took a major blow on Friday after new data revealed that epacadostat in combination with already blockbuster cancer drug Keytruda (pembrolizumab) had failed to meet the primary endpoint of a Phase III clinical trial in melanoma.

Incyte Corp (Nasdaq: INCY) and Merck (NYSE: MRK) announced that an external Data Monitoring Committee (eDMC) review of the pivotal Phase III ECHO-301/KEYNOTE-252 study results evaluating Incyte’s epacadostat in combination with Merck’s Keytruda in patients with unresectable or metastatic melanoma determined that the study did not meet the primary endpoint of improving progression-free survival in the overall population compared to Keytruda monotherapy.

Incyte’s shares plunged 22.9% to $64.02, wiping more than $4 billion off the company’s market capitalization, while Merck dipped 2.15% to $53.36 by close of trading on Friday.

This article is accessible to registered users, to continue reading please register for free. A free trial will give you access to exclusive features, interviews, round-ups and commentary from the sharpest minds in the pharmaceutical and biotechnology space for a week. If you are already a registered user please login. If your trial has come to an end, you can subscribe here.

Try before you buy

Free

7 day trial access

Take a Free Trial

All the news that moves the needle in pharma and biotech
Exclusive features, podcasts, interviews, data analyses and commentary from our global network of life sciences reporters.
Receive The Pharma Letter daily news bulletin, free forever.

Become a subscriber

£820

Or £77 per month

Subscribe Now

Unfettered access to industry-leading news, commentary and analysis in pharma and biotech.
Updates from clinical trials, conferences, M&A, licensing, financing, regulation, patents & legal, executive appointments, commercial strategy and financial results.
Daily roundup of key events in pharma and biotech.
Monthly in-depth briefings on Boardroom appointments and M&A news.
Choose from a cost-effective annual package or a flexible monthly subscription

The Pharma Letter is an extremely useful and valuable Life Sciences service that brings together a daily update on performance people and products. It’s part of the key information for keeping me informed

Chairman, Sanofi Aventis UK