Oncology firm Verastem (NASDAQ: VSTM) jumped 9% in pre-market trading as of just before the bell on Sanofi deal.
Industry media are reporting breaking news of a deal with Sanofi, where Sanofi acquires the rights to distribute Verastem’s COPIKTRA® (duvelisib) oral inhibitor in Russia and CIS, Turkey, the Middle East and Africa.
A press release announcing the plan calls COPIKTRA “the first approved dual inhibitor of PI3K-delta and PI3K-gamma, for the treatment of all oncology indications,” with more detail available on the Veraste m web site about the proposed uses of the drug.
“Sanofi brings world-class capabilities in developing and commercializing products, making them an ideal partner to bring COPIKTRA to patients in these territories,” said Dan Paterson, President and Chief Operating Officer of Verastem Oncology in a press statement. “Establishing this third partnership outside the U.S. validates the global potential of COPIKTRA and underscores our commitment to bring COPIKTRA to patients worldwide.”
David Khougazian, Head of Sanofi Genzyme, China & Emerging Markets, added that Sanofi “welcome(s) partnerships that have the potential to bring value for patients and caregivers.”
Public statements show the drug was approved in September 2018 by the U.S. Food and Drug Administration (FDA) for the treatment of adult patients with relapsed or refractory chronic lymphocytic leukemia/small lymphocytic lymphoma (CLL/SLL) as well as relapsed or refractory follicular lymphoma (FL).
Accelerated approval in FL was based on overall response rate and continued approval may be contingent upon verification and description of clinical benefit in confirmatory trials,” write Verastem spokespersons, citing the following recorded side effects:
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- diarrhea or colitis
- cutaneous reactions
- pneumonitis
Verastem’s increase reverses a trend where the equity lost nearly two thirds of its value since March.