AstraZeneca PLC (LON:AZN) shares rose on Tuesday after the pharma giant announced trials to assess whether its drug Calquence can be used to treat patients suffering from severe coronavirus symptoms.
Calquence, which is used for certain types of blood cancers, blocks the BTK enzyme from favouring the formation of malignant cells.
READ: AstraZeneca’s target price upped to 8,870p by Liberum over oncology pipeline potential
The FTSE 100-listed firm said clinical data showed that lower inflammation caused by BTK inhibition “appears to reduce” the severity of respiratory distress induced by coronavirus.
The trial will evaluate the efficacy and safety of adding Calquence to reduce mortality and the need for assisted ventilation in patients with life-threatening symptoms.
“This is the fastest launch of any clinical trial in the history of AstraZeneca,” José Baselga, executive vice president in the oncology research and development segment said in a statement.
In late morning trading, AstraZeneca shares were 5.8% higher at 7,533p.
Other drug news
In a separate announcement, AstraZeneca also said its Koselugo treatment for neurofibromatosis type I (NF1) has been approved in the US for children over the age of two.
NF1 is a genetic disorder of the nervous system causing tumours to grow on nerves. It acts by blocking the enzyme responsible for activating the mutations in certain genes.
Highlighting that news in a note to clients, analysts at Shore Capital said: "We would estimate (from AstraZeneca’s epidemiology data) there are currently 6,000 eligible patients in the US and at a cost of US$12,500 per month, this would imply peak sales of US$900mln assuming all patients were treated."
And in a further update, the FTSE 100-listed firm also said trials for its Tagrisso cancer treatment candidate will be sped up following a recommendation from an independent committee, due to “overwhelming efficacy”.
Tagrisso is also an inhibitor and is used to treat locally advanced or metastatic non-small-cell lung cancer.
The drug will now enter the final phase of trials which will be unblinded, meaning patients will know whether they are taking the actual drug or the placebo.
-- Updates share price --