Alzheimer’s drug development companies have been handed a boost in share prices this week following data for the pioneering treatment lecanemab.
Positive late-stage clinical data announced by Biogen Inc (NASDAQ:BIIB) and Eisai for the drug, which is an amyloid-targeting antibody, showed it successfully reduced the rate of cognitive decline in Alzheimer's patients (AD).
Biogen surged 35% to US$267.80 in the five days to Friday following the news.
Full data from the Phase III Clarity AD trial will be presented at a conference later in the year, but Shore Cap insisted this is a “hugely significant breakthrough for neurodegenerative research and reaffirms the amyloid theory for Alzheimer’s.”
If approved, the investment group commented, this could provide a step-change in the treatment of this type of dementia.
A positive read across was taken for others working in the field, with Lilly, Roche and a plethora of AD-focused biotech companies also rising on this news, with a combined US$50bn appreciation in market cap.
Shore Cap said it does not see a direct read for UK pharma and biotech equities, given the limited footprint in amyloid-related research, but still views it as a catalyst to renew interest in the area.