Array Biopharma Inc (NASDAQ: ARRY)
Array BioPharma Inc’s shares soared after the firm’s disclosure on Wednesday that a Phase 3 clinical trial for its cancer drug binimetinib had proved successful. Following the news, Array shares which previously traded at the lowest levels seen this year, suddenly led the bulls, the share price surging a dramatic 32% to $5.06 in pre-market trading.
Array Press Release
The biopharmaceutical company announced that its drug binimetinib extended the time involved for the cancer to grow or spread for people suffering from advanced NRAS-mutant melanoma, a notoriously deadly form of skin cancer. The study arrived at its primary endpoint of improving progression-free survival (PFS) compared with dacarbazine treatment. It was noted during the trial that binimetinib was overall well-tolerated by patients.
Array continues to grow its pipeline of cancer-fighting products. It is progressing with Phase 3 trials of three different cancer-treating drugs. This includes binimetinib, also targeted to treat those with low-grade serous ovarian cancer. Array continues to work on promising trials of utilizing encorafenib in combination with binimetinib to treat BRAF-mutant melanoma. Ovarian cancer is the deadliest of gynecologic cancers, representing the ninth most common cancer among women and the fifth leading cause of cancer-related death among women. In the USA alone Melanoma is the fifth most common cancer among men and the seventh most common cancer among women, with almost 74,000 new cases and nearly 10,000 deaths from the disease projected in 2015.
Array also maintains a partnership with AstraZeneca for the development of the drug selumetinib. In July of this year however the firm announced that the Phase 3 study of this drug in combination with dacarbazine for the treatment of patients with metastatic uveal melanoma did not meet its primary endpoint of progression free survival. Additionally Array is in collaboration with Roche for the development of danoprevir a treatment for Hepatitis C that is currently in phase 2 trials.
Array shares seem to be swiftly gaining momentum, rapidly leaving the stygian lows they saw in November when the stock fell to 3.83. Nevertheless the share price is still not back to the highs it experienced in February when it was worth 8.39. However with the positive trial news looming large combined with heavy pre-market trading it looks like the share is going to continue its ascent in the short-term. This is still a very cheap equity to own for the value conscious investor and should further successful trials ensue one can expect more gains.
Array BioPharma Inc. is a biopharmaceutical company based in Boulder, Colorado. It is focused on the discovery, development and commercialization of targeted small molecule drugs to treat patients afflicted with cancer. The company has a pipeline of about 17 products. Six registration studies are currently advancing. These programs include three cancer drugs which are in phase 3 trials, binimetinib (MEK162), encorafenib (LGX818) and selumetinib. The latter is being developed in partnership with AstraZeneca. The company also has partnerships with Roche, Eli Lilly and Genentech for the collaborative development of various other drugs.