UPDATE - Merck stops development of lung, asthma drug
Friday April 25, 11:27 am ET
By Toni Clarke and Ransdell Pierson
(Updates with details)
NEW YORK, April 25 (Reuters) - Merck & Co. (NYSE:MRK - News) on Friday said it would cease development of a drug for asthma and chronic obstructive pulmonary disease currently in mid-stage clinical trials because of safety concerns.
A Merck spokesperson declined to elaborate on the nature of the concern, but its partner, the British biotechnology company Celltech Group Plc (London:CCH.L - News), said one person in the trial developed colitis, an irritable bowel condition.
Currently the annual global market for drugs to treat the smoking-related COPD is about $3 billion. That could triple to more than $9 billion by 2010 if safer and more convenient therapies are introduced, analysts say.
Celltech's shares were down about 8 percent in London trading. Merck's shares were down 2.9 percent in early trading on the New York Stock Exchange (News - Websites) as analysts said investors did not have very high hopes for the drug.
Even so, it is the second failure this year of a mid-stage drug for Merck, which badly needs new products to replace four important medicines that have lost patent protection in recent years. The company in February dropped development of an anti-anxiety drug. It did not say why.
Merck's latest drug to stumble belonged to a new class known as Phosphodiesterase-4 inhibitors, which are thought to combat the lung inflammation that is a symptom of asthma and COPD. The company said it will continue to study similar compounds.
Symptoms of COPD, a progressive airflow obstruction often resulting from smoking or emphysema, include shortness of breath, a cough and limitation of activities.
About 30 million Americans suffer from COPD and the mortality rate from the disorder is expected to double over the next 30 years, according to a report by SG Cowen Securities. Two million to 3 million people worldwide die of the disease each year.
No PDE-4 drugs have yet been approved for the conditions. Experimental drugs in the class have been hindered by safety problems. Even so, drugmakers still believe the class shows promise. Others working on PDE-4 inhibitors include Pfizer Inc. (NYSE:PFE - News) and GlaxoSmithKline Plc (London:GSK.L - News).
Two standard treatments for COPD are sold by privately held German drugmaker Boehringer-Ingelheim, Atrovent and Combivent. But they must be taken many times per day and offer only limited symptomatic relief.
AstraZeneca Plc's (London:AZN.L - News) asthma treatment Symbicort last February won approval in Europe for the treatment of COPD. The British drugmaker is also seeking U.S. approval for Symbicort as a treatment for COPD.
Symbicort will face fierce competition from GlaxoSmithKline Plc's (London:GSK.L - News) rival asthma product Seretide/Advair, which has won conditional approval from U.S. regulators.
Both drugs combine corticosteroids, a type of anti-inflammatory agent, with beta-agonist medicines that are designed to open the airways. |
