Shares of GSK stock are down following an announcement by GlaxoSmithKline (GSK) that its MAGE-A3 cancer vaccine had poor treatment results in its study.
The treatment did not extend disease-free survival compared with a placebo in two patient populations: in the overall MAGE-A3 positive population and in MAGE-A3-positive patients who didn’t receive chemotherapy.
GlaxoSmithKline has seen sales decline in recent months, and hopes to offset that with newer drugs on the market. Last year the company had five FDA drug approvals — a good year for GSK.
“We are disappointed that the trial did not demonstrate a benefit for overall MAGE-A3 positive patient population, but we remain committed to the effort to identify… patients who may benefit from this investigational treatment,” Vincent Brichard, senior vice president and head of immunotherapeutics at GSK Vaccines, said in a statement.
The U.K. group, which has a market capitalization £80.41 billion, has been cutting costs and restructuring its business in recent years to focus on three core areas: pharmaceuticals, vaccines and consumer health.
Last year it divested itself of drinks brands Lucozade and Ribena to Japan’s Suntory Holdings Ltd., and thrombosis brands to South Africa’s Aspen Pharmacare Holdings Ltd., while raising its stake in its Indian consumer and pharmaceutical businesses.
GSK stock is down nearly 2% on the news.
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