Idera Pharmaceuticals Inc. (NASDAQ:IDRA)
Idera Pharmaceuticals Inc. (NASDAQ:IDRA) shares rallied 14% as investors reacted to top line results presented at the European Society for Medical Oncology conference for the company’s melanoma candidate IMO-2125. Trial results indicate that only one of the 18 patients enrolled experienced disease progression after treatment with the drug.
IMO-2125 Response Rate
The normal response rate among melanoma patients after treatment with PD-1 is usually 10-13%. Idera Pharmaceuticals Inc. (NASDAQ:IDRA)’s, IMO-2125 provided a much higher response rate after shrinking tumors in six of nine patients on 8mg dosage, translating to a 66.67% response rate.
“Based on these positive and encouraging response data in anti-PD-1 refractory melanoma, where the greatest need exists, we have expanded the target number of patients in the ongoing Phase 2 expansion, including broadening eligibility to patients who have received prior ipilimumab,” stated Joanna Horobin, M.B., Ch.B., Idera’s Chief Medical Office.
Shares of the clinical stage biotech received a bump on the positive response data as they touched highs of $2.30 a share before retreating to the $2.23 mark. The stock has already broken a key resistance level and the street is waiting to see if it will continue to power to the $2.60 mark.
Following the positive trial results, IMO-2125 has been selected for further development in combination with ipilimumab. Idera Pharmaceuticals Inc. (NASDAQ:IDRA) will carry out a Phase 3 trial of the drug in patients with PD-1 refractory melanoma in the first quarter of 2018. Preparations for the proposed trial are already underway as the company seeks to gain a head start in the treatment of the unmet medical need.
The top line results have helped shrug off concerns about the company’s prospects following disappointing Q2 financial results. The clinical stage biopharmaceutical company reported a net loss of (-$21.5) million or ($-0.14) share. Wall Street was expecting a net loss of (-$0.11) a share. Revenue in the quarter totaled $187,000.
Research and development expenses in the quarter increased to $17.9 million compared to $10.1 million reported a year earlier. General and administrative expenses in the quarter came in at $3.9 million compared to $3.8 million reported a year earlier. Idera Pharmaceuticals Inc. (NASDAQ:IDRA) ended the quarter with cash and cash equivalent of $77.2 million more than enough for funding operations into the fourth quarter of 2018.
I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.
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About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.