Merrimack Pharmaceuticals Inc (NASDAQ:MACK)’s breast cancer drug (MM-302) trial receives a hiccup as the external panel feels that there are already better treatments for the disease in market. Following the news, the company’s stock took a shook as its shares toppled in the market.
The external panel or independent monitoring board studied the interim data of company’s mid-stage clinical trial of the drug. This group analyzes and advices investigators regarding the success or failure of high-risk clinical trials. Merrimack Pharmaceuticals was carrying on the clinical study of HER2-positive metastatic breast cancer patients. The patients included were the ones who had already been treated with two more drugs.
The clinical study that wasn’t meant to be
The external panel, after analyzing the study, opined that the patients who were suffering from cancer and also taking Cambridge Company’s drug did not show any signs of improvement with Merrimack Pharmaceuticals’ tested drug. The disease progressed at its same speed, instead of being curtailed. The panel’s recommendation, company confirmed, were based on their “futility assessment.”
Merrimack Pharmaceuticals stated that the company was upset with the decision of panel. In a statement, Istvan Molnar the clinical development vice president said that the outcome of company’s MM-302 study was disappointing.
In the previous year, the same company had got a green signal from USFDA for metastatic pancreatic cancer treatment. The medicine was available in the market with Onivyde brand name. However, the company still suffered losses worth $50.8 million in Q2 and $30.1 million in Q3.
It seems like the company is struggling to maintain a repute of a trustworthy business ever since its CEO left. While the external panel refused to buy company’s clinical study for its new drug, the old drugs aren’t selling at a profitable margin. Where does this leave Merrimack Pharmaceuticals? It is yet to understand what the further plans are for this company, but for now, the situation doesn’t seem to be rosy at all.