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Thursday, April 29, 2021

BioMarin Q1 results, PDUFA date extended

 Full-year 2021 Financial Guidance Reaffirmed

- Total Revenues Grew 9% in the First Quarter 2021 Compared to First Quarter 2020, Excluding Kuvan

- Regulatory Actions in Europe for Vosoritide and Valoctocogene Roxaparvovec Tracking as Expected; BioMarin Anticipates CHMP Opinion in June for Vosoritide and June Re-submission of MAA for Valoctocogene Roxaparvovec

- FDA Review of Vosoritide Proceeding; PDUFA Target Action Date Extended to November 20, 2021 to Provide Time for Review of Recently Submitted 2-year Phase 3 Results

https://finance.yahoo.com/news/biomarin-announces-first-quarter-2021-200300584.html

Merck, Roche, Bristol nab 4 of 6 positive votes for ‘dangling’ accelerated approvals

 What looked at the outset like a prime opportunity for the FDA to critique industry over failed confirmatory trials for lagging accelerated approvals ended up being mostly a triumph for the large biopharma companies.


The FDA’s Oncologic Drugs Advisory Committee voted in favor of keeping on the market four of the six “dangling” accelerated approvals presented to it over the last three days. Even despite the failed trials, companies and their physicians raised concerns about unmet treatment needs and the long duration of responses for the checkpoint inhibitors before each of the six votes.


The two ODAC votes that didn’t receive a majority of “yes” votes from the outside experts were Merck’s Keytruda (pembrolizumab) as a third-line treatment for stomach cancer and Bristol Myers Squibb’s Opdivo (nivolumab) as a second line treatment for liver cancer. In both cases, Richard Pazdur, director of the FDA’s Oncology Center of Excellence, raised concerns with the committee, while noting the unintended consequences of keeping Keytruda on the market and questioning BMS data (see more below).


Overall, however, the main takeaway from the last three days is that if you’re a biopharma company that has won an accelerated approval and your confirmatory trial has failed, it may be unwise to voluntarily withdraw that approval. Taking the decision to ODAC may end up with a thumbs up to remain on the market while future trials are being conducted.


Some outside oncologists raised serious concerns about maintaining the integrity of the accelerated approval pathway if companies and the FDA don’t get rid of certain drug indications that have failed in confirmatory trials.


“If the drugs remain on the market, the very nature of accelerated approval should fall into question,” Vinay Prasad, oncologist at UCSF, told Endpoints. “Perhaps we cannot realistically give conditional approval because no one will ever have the courage to pull the drugs.”


Keytruda in stomach cancer


On Thursday morning, ODAC voted 6-2 against keeping Keytruda as a third-line treatment for stomach cancer. Panelists voting no pointed to the changing treatment landscape as earlier this month another checkpoint inhibitor, Bristol Myers Squibb’s Opdivo (nivolumab), won full approval from the FDA and showed positive overall survival benefit as a first line treatment for stomach cancer.


The accelerated approval first came in September 2017, but the FDA noted in its presentation Thursday that two follow-up trials did not confirm the benefit that was initially seen.


Pooja Bhagia, VP of oncology research at Merck, countered that these two studies were evaluating Keytruda as first- and second-line treatments for stomach cancer. She also explained how four ongoing Phase 3 trials (three of which are either fully enrolled or greater than 90% enrolled) have the potential to confirm clinical benefit of Keytruda in stomach cancer before the end of 2024.


Peter Enzinger of the Dana Farber Cancer Institute and a paid consultant to Merck and other physicians raised concerns about the lack of treatment options in the third line, especially since Keytruda is the only immunotherapy available.


But Pazdur, FDA’s head of oncology, shifted the tone of the morning meeting and offered the agency’s perspective, stressing the unintended consequences of keeping Keytruda in this indication as physicians might see checkpoint inhibitors as options in the first or third line, even though positive overall survival results have only been seen in the first line with Opdivo.


And as more receive checkpoint inhibitors in the first line setting, fewer will receive it in the third line setting, Steven Lemery, acting director of FDA’s Division of Oncology 3, added. He also noted immune-related adverse events with Keytruda, how most patients do not benefit from Keytruda in this indication, and he questioned the relevance of the four proposed confirmatory trials for this third-line indication as they all are studying Keytruda in combo with chemo.


“Many of these potential confirmatory trials won’t be available for years. Would we grant this indication at this time? The definitive answer is no,” Pazdur said.


He also stressed that even if Keytruda is pulled for this indication, patients who might be caught in limbo between treatments may still be able to access Keytruda because the FDA can set up an expanded access protocol.


Keytruda in HCC


The situation turned against the FDA again in the afternoon, although the agency isn’t obliged to follow the advice of its advisory committees.


In the first session, ODAC voted unanimously, 8-0, to maintain Keytruda’s accelerated approval for patients with hepatocellular carcinoma (HCC), a common type of liver cancer, as a second line treatment.


Merck first won that accelerated approval in November 2018, and the company made the case for why Keytruda should remain on the market as, even with the new approval in the first line setting for the combination of atezolizumab and bevacizumab, and the two new second-line accelerated approvals in this indication, there’s a need for anti-PD-1 monotherapy in the second line setting.


The FDA argued that the treatment landscape changed after the atezolizumab-bevacizumab combo was approved in the first-line setting.


Richard Finn, a professor of medicine at UCLA and paid consultant for Merck, said there does not seem to be any benefit to pulling this accelerated approval for Keytruda while two other confirmatory results are expected soon. One of those results from a trial in Asia is expected to read out in June or July, and is in the same setting as the accelerated approval.


FDA’s Steve Lemery noted that if this larger study in Asia is negative, it’s unclear if another trial could be useful as a confirmatory study as there would then be two negative confirmatory trials against placebo. He also noted that while some patients did see long duration of response, most patients do not benefit from the treatment. And he raised questions, given the changing treatment landscape, if Keytruda would win accelerated approval in this second line setting today.


Opdivo in HCC


In the late afternoon session, ODAC voted 5 to 4 to not maintain Bristol Myers Squibb’s Opdivo’s (nivolumab) indication for the monotherapy use of nivolumab in patients previously treated with sorafenib pending the conduct or completion of additional trial(s).


Panelist Anthony Sung, assistant professor of medicine at Duke University School of Medicine, voted “no” and said he didn’t think the data was there on the whole. Susan Halabi, a professor of biostatistics at Duke, also voted no and said that although there’s an unmet need, she wasn’t convinced there was a clinical benefit.


Back in September 2017, Bristol Myers Squibb’s Opdivo (nivolumab) won accelerated approval as a second-line treatment for HCC. Two years later, a confirmatory study did not meet statistical significance in its primary endpoint of overall survival and other treatments for this indication made their way to the market.


As seen with Keytruda in the prior session, the altered treatment landscape was a question for Opdivo, partly because the drug also won another, separate accelerated approval in combination with Yervoy (ipilimumab) last March for the same setting — patients with HCC who have been previously treated with sorafenib.


Bristol Myers discussed the significant unmet need in the second line treatment space for HCC and some long response rates with Opdivo.


Anthony El-Khoueiry, associate professor of medicine at the University of Southern California, said Opdivo offers a more favorable benefit-risk profile than second-line anti-VEGF targeted options.


Lemery presented again for FDA, explaining the failed confirmatory trial and noting that the agency found the combo of Opdivo and Yervoy to be “highly relevant” given the considerably lower response rate for monotherapy.


But Thomas Abrams, an associated professor at Harvard Medical School and paid Merck consultant, said the combo treatment is really reserved for the fitter patients who failed a TKI (tyrosine kinase inhibitor) in the first line. For monotherapy with Opdivo, Abrams said the patients have more comorbidities, and “they really are two different patient populations.”


FDA’s Pazdur again weighed in, claiming that BMS is essentially trying to make the case for Opdivo as a monotherapy for those who cannot tolerate the Opdivo and Yervoy combination. But when Pazdur pressed BMS on data around the response rate for this population, BMS said it didn’t have the data.


“You’re advocating for a new indication, please provide the response rate – not anecdotal information,” Pazdur said.


Last two days


Thursday’s meeting followed three other votes on Tuesday and Wednesday to maintain Keytruda and Tecentriq accelerated approvals in other indications.


On Wednesday morning, ODAC voted 5-3 in favor of keeping Keytruda’s accelerated approval alive as a first line bladder cancer treatment for those who are cisplatin-ineligible and carboplatin-ineligible, even after a Merck confirmatory trial failed.


And on Wednesday afternoon, ODAC voted 10-1 in favor of keeping Genentech’s Tecentriq (atezolizumab) as a first-line treatment of cisplatin-ineligible patients with advanced/metastatic bladder cancer pending final overall survival results from a confirmatory trial, known as IMvigor130.


Committee members on Tuesday also voted 7-2 to maintain the accelerated approval for Tecentriq plus Abraxane (nab-paclitaxel) in metastatic triple negative breast cancer while additional confirmatory trials are ongoing.


Looking forward


The FDA is not obligated to follow the advice of ODAC, but the agency will be faced with some difficult decisions, particularly on the precedent that might be set if some companies are allowed to conduct or wait for an additional confirmatory trial to read out before their accelerated approval indications are pulled or converted to a full approval.


Although none of the drugs will be pulled entirely from the market, meaning all can be used off-label for these indications no matter what happens, this three-day meeting may push the FDA, and possibly even Congress, to reassess the accelerated approval pathway overall and what should occur when a confirmatory trial fails.

https://endpts.com/merck-roche-and-bristol-myers-nab-4-of-6-positive-odac-votes-for-dangling-accelerated-approvals/

Vaccitech Prices IPO

 Vaccitech plc (“Vaccitech”) (Nasdaq: VACC), a clinical-stage biopharmaceutical company engaged in the discovery and development of novel immunotherapeutics and vaccines for the treatment and prevention of infectious diseases and cancer, today announced the pricing of its initial public offering in the United States of 6,500,000 American Depositary Shares (“ADSs”) representing 6,500,000 ordinary shares at an initial public offering price of $17.00 per ADS for total gross proceeds of $110.5 million. All ADSs sold in the offering are being offered by Vaccitech. The ADSs are expected to begin trading on The Nasdaq Global Market on April 30, 2021 under the ticker symbol “VACC.”  In addition, Vaccitech has granted the underwriters a 30-day option to purchase up to an additional 975,000 ADSs at the initial public offering price, less underwriting discounts and commissions. The offering is expected to close on May 4, 2021, subject to satisfaction of customary closing conditions.

Morgan StanleyJefferiesBarclays and William Blair are acting as book-runners for the offering. H.C. Wainwright & Co. is acting as lead manager for the offering.

https://www.streetinsider.com/Globe+Newswire/Vaccitech+Announces+Pricing+of+Initial+Public+Offering/18337403.html

Teladoc Facing Analyst Price Target Cuts After Wider Than Expected Q1 Loss

 

  • Teladoc Health (NYSE: TDOC) reported a wider than expected Q1 loss of $1.31 per share which missed the analyst consensus estimate of $0.62, versus a loss of $0.40 a year ago.
  • That steeper net loss stemmed in part from a $68 million increase in stock-based compensation expense, as well as amortization of acquired intangibles related to its Livongo and Intouch Health acquisitions that pulled its bottom line down by $37 million compared to the prior-year period.
  • The biggest hit was due to an $87 million non-cash income tax charge that primarily reflected a valuation allowance on the stock compensation benefits linked to its purchase of Livongo.
  • The company reported quarterly sales of $453.68 million, marginally above the analyst consensus of $451.92 million, up 151% Y/Y. The total visits increased 56% Y/Y to 3.2 million.
  • The company’s revenue increased by 18% sequentially, with part of this growth acquisition of Livongo, closed in October 2020.
  • However, Teladoc achieved significant improvement on adjusted EBITDA of $56.6 million in the first quarter, up from $10.7 million in the prior-year period.
  • Teladoc’s U.S. paid membership decreased in the first quarter to 51.5 million from 51.8 million in the previous quarter. However, its total number of visits rose nearly 8% sequentially to almost 3.2 million. 
  • The company’s utilization rate also increased to 19.6% from the fourth quarter’s 17.7%.
  • Guidance: Teladoc expects Q3 revenue between $495 million and $505 million, with full-year revenue of $1.97 billion to $2.02 billion, in line with the analyst consensus.
  • It anticipates total U.S. paid membership in Q2 of between 52 million and 53 million, not much higher than its Q1 level.
  • For the full year, it sees the U.S. paid membership climb no higher than 54 million. 
  • The company doesn’t expect total visits to rise much in Q2, with a projection of 3.2 million and 3.4 million.
  • After the Q1 earnings, several analysts lowered their price targets for Teladoc:
    • Evercore ISI lowered the price target to $185 from $195 and kept an in-line rating.
    • Cowen’s Charles Rhyee cut his price target to $240 from $268, maintaining his outperform rating.
    • Oppenheimer lowered the price target to $250 from $270.
    • KeyBanc analyst Donald Hooker lowered the price target to $220 from $270, keeping an Overweight rating on the stock.
    • Craig-Hallum cut the firm’s price target to $202 from $220 and kept a Hold rating.
    • Canaccord slashed the price target to $295 from $330, with the Buy rating unchanged.
    • BTIG analyst David Larsen lowered the firm’s price target to $300 from $330 but kept a Buy rating.
https://www.benzinga.com/news/earnings/21/04/20866944/teladoc-stock-plummets-facing-analyst-price-target-cuts-after-wider-than-expected-q1-loss

Pfizer-BioNTech Bullish On COVID-19 Vaccine Trial Results In Infants By September

 

  • BioNTech SE's (NASDAQ: BNTX) CEO Ugur Sahin says the company, along with its partner Pfizer Inc (NYSE: PFE), could have data from trials testing the COVID-19 vaccine in babies as young as six months old by September, according to Reuters
  • "In July, the first results could be available for the five to 12-year-olds, in September for the younger children," BioNTech Chief Executive Ugur Sahin told the German magazine, Der Spiegel, per Reuters. He added that it takes about four to six weeks to evaluate the data.
  • Earlier this month, Pfizer and BioNTech asked the FDA to expand its emergency use authorization to include adolescents 12 to 15 years old.
  • In a trial published at the end of March, COVID-19 vaccine BNT162b2 showed 100% efficacy and substantial antibody responses in vaccinated participants aged 16 to 25 years old and was well tolerated.
  • A couple of weeks ago, Moderna Inc (NASDAQ: MRNA) said its Phase 2/3 TeenCOVE study is fully enrolled with about 3,000 participants between 12 and 17 years in the US. Meanwhile, its Phase 2/3 KidCOVE study was still recruiting children between 6 months and 11 years old.

Ardelyx: PDUFA Review Period for Tenapanor for Kidney Disease Extended

 Ardelyx, Inc. (Nasdaq: ARDX), a biopharmaceutical company focused on the discovery, development, and commercialization of innovative first-in-class medicines to improve treatment for people with kidney and cardiorenal diseases, today announced that the Prescription Drug User Fee Act (PDUFA) date for tenapanor for the control of serum phosphorus in adult patients with chronic kidney disease (CKD) on dialysis has been extended by three months.

Following constructive labeling discussions with the U.S. Food and Drug Administration (FDA) that began in early April, the agency made a recent information request that required the company to submit additional analyses to help the agency better understand the clinical data in light of tenapanor's novel mechanism of action as compared to approved therapies. In response, the company submitted the requested analyses which constitute a major amendment to the New Drug Application (NDA), resulting in an extension of the PDUFA date by three months to July 29, 2021.

https://finance.yahoo.com/news/ardelyx-announces-extension-pdufa-review-201500181.html

Bio-Rad Q1 results

 Bio-Rad Laboratories, Inc. (NYSE: BIO and BIOb), a global leader of life science research and clinical diagnostic products, today announced financial results for the first quarter ended March 31, 2021.

First-quarter 2021 net sales were $726.8 million, an increase of 27.1 percent compared to $571.6 million reported for the first quarter of 2020. On a currency-neutral basis, quarterly sales increased 23.4 percent compared to the same period in 2020. First-quarter gross margin was 55.1 percent compared to 55.5 percent during the first quarter in 2020.

Life Science segment net sales for the first quarter were $366.5 million, an increase of 61.3 percent compared to the same period in 2020. On a currency-neutral basis, Life Science segment sales increased by 56.9 percent compared to the same quarter in 2020. Currency-neutral sales increased across most of our core life science research product lines but were primarily driven by growth in our qPCR, Western Blotting, Droplet Digital PCR, and Process Media products. A significant portion of the Life Science segment growth came from products used to support COVID-19 research and testing. All regions experienced double digit currency-neutral sales growth compared to the same quarter last year.

Clinical Diagnostics segment net sales for the first quarter were $358.5 million, an increase of 5.4 percent compared to the same period in 2020. On a currency-neutral basis, net sales were up 2.2 percent versus the same quarter last year. The currency-neutral sales increase was primarily driven by our Diabetes and Quality Controls products, primarily in the Asia Pacific region.

Income from operations during the first quarter of 2021 was $100.9 million versus $74.4 million during the same quarter last year.

Net income for the first quarter of 2021 was $977.4 million, or $32.38 per share, on a diluted basis, versus $685.9 million, or $22.72 per share, on a diluted basis, during the same period in 2020. Net income for the first quarter of 2021 and 2020 was impacted by the recognition of changes in the fair market value of equity securities, primarily related to the holdings of our investment in Sartorius AG. The effective tax rate for the first quarter of 2021 was 24.7 percent, compared to 23.7 percent for the same period in 2020. The tax rates for both periods were driven by the large unrealized gain in equity securities.

"We are pleased with our overall results for the first quarter that reflect strength in many of our core product areas and regions," said Norman Schwartz, Bio-Rad President and Chief Executive Officer. "As we have anticipated, some of our markets continue to be affected by the COVID-19 pandemic and not operating at full capacity, although we are beginning to see a gradual improvement in our end-markets. We expect that momentum to continue as the year progresses," he said.

https://finance.yahoo.com/news/bio-rad-reports-first-quarter-201500619.html