Eiger tanks as it drops Phase III LIMT-2 trial of peginterferon lambda

US biopharma firm Eiger BioPharmaceuticals (Nasdaq: EIGR) saw its shares plummet more than 40% to $0.41, after it announced its decision to discontinue the Phase III LIMT-2c study of peginterferon lambda in patients with chronic hepatitis delta (CHD).

The decision was taken on the recommendation of the Data Safety Monitoring Board (DSMB) for the study following its quarterly safety review. In its communication, the DSMB recommended the discontinuation of the LIMT-2 study due to observations of four patients with hepatobiliary events that resulted in liver decompensation.

"The study discontinuation is disappointing, especially for patients with chronic hepatitis delta who have limited treatment options," said Dr David Apelian, chief executive of Eiger, noting that the company “will work closely with FDA and our investigators to conduct an orderly termination of the LIMT-2 study in the interest of patient safety."