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Biogen scraps Alzheimer drug trials, wiping $17 billion off its market value

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Reuters - Biogen and partner Eisai Co Ltd are ending two late-stage trials for t...

Reuters - Biogen and partner Eisai Co Ltd are ending two late-stage trials for the experimental Alzheimer’s drug aducanumab, in a setback to efforts to find treatments for the disease and for Biogen’s stock, which lost more than $17 billion of its value on Thursday.

Investors believe the successful development of a treatment for Alzheimer’s, which affects about 5.7 million Americans, will result in multi-billion dollar annual sales. Still-experimental treatments have had a dismal track record, with more than 100 failures. The trials ended just two weeks after Eisai’s chief executive had expressed confidence in the drug. “I believe we have already gone through the riskiest stage,” Haruo Naito had said at a news briefing earlier this month.

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