Biotech and pharmaceutical stocks climbed in early action Wednesday as shares of Forest Laboratories (NYSE:FRX) and partner Cypress Bioscience (NASDAQ-NMS:CYPB) advanced sharply on positive Phase III data for their drug milnacipran, a prospective treatment for fibromyalgia.
The DJ Wilshire Pharmaceutical Index edged up 0.4% to 2598.92 and the DJ Wilshire Biotechnology Index advanced 0.6% to 3220.62.
Shares of Forest (FRX) jumped 8% to $56.18 in early trading, while Cypress ( CYPB) shares rocketed almost 110% to $17.55.
Late Tuesday, Forest and Cypress said preliminary results from a Phase III trial for milnacipran, a psychiatric medication, for the treatment of pain associated with the neurological disorder fibromyalgia showed significant effects.
The companies added that they hope to apply for regulatory approval for the drug around the end of 2007. The drug is already on the market for the treatment of depression in over 32 countries.
Shares of Vion Pharmaceuticals (NASDAQ-SMALL:VION) (VION) plunged almost 50% to $1.03. The company said early Wednesday that it was suspending a Phase III clinical trial for its drug Cloretazine for the treatment of adult myelogenous leukemia.
Vion said it made the decision based on the recommendation of independent safety monitors, who were concerned with the trial's death rate. Vion said the trial will remain suspended until it has analyzed all the clinical data.
Shares of Northfield Laboratories (NASDAQ-NMS:NFLD) (NFLD) also imploded on disappointing Phase III clinical trial for its blood substitute product PolyHeme. Northfield shares were down almost 45% at $2.32.
-Val Brickates Kennedy; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires 05-23-07 1058 Copyright (c) 2007 Dow Jones & Company, Inc.
