Affimed NV (NASDAQ: AFMD) is having an overwhelmingly rough start to the trading session in the pre-market hours this morning, and for good reason. The company announced that a clinical trial has been placed on hold due to a death. Of course, the news upset investors, sending the stock tumbling down. Today, we’ll talk about:
- The clinical hold;
- what we’re seeing from AFMD as a result; and
- what we’ll be watching for with regard to the stock ahead.
AFMD Falls On Clinical Death
As mentioned above, Affimed is having an incredibly rough start to the trading session this morning after announcing a clinical hold due to a death. In a press release issued after hours last night, the company said that it has placed AFM11 on a clinical hold and has notified the global health authorities of the action.
In the release, AFMD reminded investors that AFM11 is being evaluated in two Phase 1 clinical studies for the treatment of patients with relapsed or refractory CD19 positive B-cell non-Hodgkin lymphoma and acute lymphoblastic leukemia.
The company said that the hold was initiated after the occurance of Serious Adverse Events in three patients, which included death in the ALL study and two life-threatening events in the NHL study. AFMD said that the events occured in patients enrolled in the highest dose cohort of each study.
Finally, the company said that the clinical hold does not affect the ongoing development of its NK cell engager programs, which are based on targeting the NK cell receptor CD16A.
What We’re Seeing From The Stock
One of the first lessons that we learn when we start to dig into the market is that it’s important to keep a close eye on the news. After all, the news leads to moves. In the case of Affimed, the news proved to be overwhelmingly negative. After all, near-death adverse events and one death in these trials may lead to the company scrapping the asset. So, it’s no surprise that upset investors are sending the stock tumbling in the market this morning. As is normally the case, our partners at Trade Ideas were the first to alert us to the declines. At the moment (9:14), AFMD is trading at $3.34 per share after a loss of $1.29 per share or 27.86% thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on AFMD. In particular, we’ll be watching the clinical hold closely to see if it leads to a change in protocol or a complete scrap of the asset. Nonetheless, we’ll continue to follow the story closely and bring the news ot you as it breaks!
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