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Wednesday, September 30, 2020

FDA widens U.S. safety inquiry into AstraZeneca coronavirus vaccine

The U.S. Food and Drug Administration has broadened its investigation of a serious illness in AstraZeneca Plc's COVID-19 vaccine study and will look at data from earlier trials of similar vaccines developed by the same scientists, three sources familiar with the details told Reuters.

AstraZeneca's large, late-stage U.S. trial has remained on hold since Sept. 6, after a study participant in Britain fell ill with what was believed to be a rare spinal inflammatory disorder called transverse myelitis.

The widened scope of the FDA probe raises the likelihood of additional delays for what has been one of the most advanced COVID-19 vaccine candidates in development. The requested data was expected to arrive this week, after which the FDA would need time to analyze it, two of the sources said.

Effective vaccines are seen as essential to help end a pandemic that has killed more than one million people worldwide.

The administration of President Donald Trump has pledged $1.2 billion to support development of the AstraZeneca vaccine and secure 300 million doses for the United States. Other leading companies in the U.S. vaccine race include Pfizer Inc , Moderna Inc and Johnson & Johnson.

Regulators in the UK, Brazil, India and South Africa have allowed AstraZeneca to resume its clinical trials there.

The FDA, however, wants to determine whether similar side effects emerged in trials of other vaccines designed by AstraZeneca's coronavirus vaccine partner, researchers at Oxford University, the sources said. That does not mean the agency believes there were safety issues associated with any of these vaccines, they added.

"It just shows that the FDA is being thorough," said one of the sources.

Further complicating the situation is that the data requested by FDA is in a different format than what the U.S. regulator requires, two of the sources said.

The FDA declined to comment on discussions involving an experimental product. Oxford did not respond to requests for comment. AstraZeneca, in a statement, said: "We are continuing to work with the FDA to facilitate review of the information needed to make a decision regarding resumption of the US trial."

VIRAL VECTOR

All of the vaccines it wants to review use a modified adenovirus as vectors to safely deliver genetic material from the target illnesses - flu, Middle East Respiratory Syndrome, and other diseases - into the body to stimulate an immune system response to fight future infection.

While other vaccine developers have used human adenoviruses for such vaccines, the Oxford researchers chose an adenovirus found in chimpanzees. They felt this would reduce the likelihood that an individual's immune system would attack the vector virus due to prior exposure rather than the intended target.

Reuters reviewed six research papers that detailed safety data of vaccines using the engineered chimpanzee adenovirus called ChAdOx1 for diseases including tuberculosis, prostate cancer and influenza.

In one of those trials, one serious adverse event cited by researchers was deemed unrelated to the vaccine.

The type of review being conducted by the FDA is generally intended to scrutinize raw data for other side effects, the sources said.

The U.S. government's effort to speed development of a COVID-19 vaccine - and promises by Trump that one could be available prior to the Nov. 3 presidential election - has led to concerns of political interference in the regulatory process at the expense of safety. The FDA has denied this.

AstraZeneca's vaccine development could also be slowed by a change to its clinical trial protocols to show that it has met pre-determined safety and efficacy standards.

Independent safety monitors will conduct their first review of the vaccine's safety and effectiveness after 75 trial subjects become infected with COVID-19, up from the original initial review plan after about 40 infections, according to a Reuters review of protocol documents issued in July and amended in mid-September.

The safety monitors could decide to stop the trial if the vaccine proves either highly effective, and therefore should be considered for public use before the trial concludes, or if serious safety problems appear.

"Safety is likely to have been a major reason" for the change, said Thomas Lumley, chair of biostatistics at the University of Auckland who was not involved with the study.

AstraZeneca would not say why it had made the change to its protocol.

https://www.marketscreener.com/quote/stock/ASTRAZENECA-PLC-4000930/news/AstraZeneca-FDA-widens-U-S-safety-inquiry-into-AstraZeneca-coronavirus-vaccine-sources-31424146/

CTI BioPharma sees price targets rising on FDA accelerated approval pathway

In Sep. 29 trading session, CTI BioPharma (CTIC +87.6%) trading was halted pending news; currently stock has surged 88% in a single day trading.

Maintaining its Outperform and Buy rating, JMP Securities (to $4 from $3) and Needham (to $6 from $3.50), respectively, raised price targets on CTI BioPharma.

JMP analyst Reni Benjamin and Needham analyst Chad Messer note that CTI Biopharma announced that the FDA agreed to an accelerated approval pathway for pacritinib in myelofibrosis patients with severe thrombocytopenia, and said it expects to complete a rolling NDA submission by Q1 2021.

More than 1.2K patients have been dosed with pacritinib. Quick look at it's development program:

With a rolling NDA for pacritinib in MF patients with severe thrombocytopenia expected to complete submission in Q1 2021; an ongoing study in hospitalized patients with COVID-19; an IST with results expected in Q4 for GvHD, and a cash position of $61M, Benjamin continues to recommend CTIC.

As per the company's latest investor presentation, top-line primary analysis data is expected in 2022.

https://seekingalpha.com/news/3618558-cti-biopharma-sees-analysts-price-targets-rising-on-fda-accelerated-approval-pathway

McConnell: Sides still 'far apart' in COVID relief talks

Update: 3:14 p.m. ET Steve Mnuchin says there's still no agreement on a stimulus deal.

Senate Majority Leader Mitch McConnell says both sides are "far apart" on a fiscal stimulus deal, denting earlier hopes negotiations were progressing.

The broader market immediately pared gains after the news, with the S&P falling 0.7%.

This morning Treasury Secretary Steve Mnuchin said he should know if the administration has an "overall understanding" with Democrats on a new fiscal stimulus package by Thursday, adding he was "hopeful".

Mnuchin's comments added some juice to a modestly higher market, leading to a broad-based rally as cash moved to stimulus-sensitive sectors like Consumer Discretionary (NYSEARCA:XLY) and Industrials (NYSEARCA:XLI).

Now, defensive sectors Consumer Staples (NYSEARCA:XLP) and Health Care (NYSEARCA:XLV) are in the lead and Industrials have turned negative.

The S&P had been trading at its highs of the day just before McConnell spoke.

https://seekingalpha.com/news/3618560-mcconnell-says-sides-still-far-apart-in-covid-relief-talks-stocks-pare-gains

Raymond James sees 62% upside for Acadia Healthcare

Acadia Healthcare (ACHC +4.5%) has received Strong Buy rating from Raymond James, up from Outperform with a price target of $48, up from $40.

The analyst believes after the divestiture of its U.K. portfolio, investors will be able to re-focus on the underlying value of the U.S. business, led by the "sleeper" CTC business, which the analyst estimate accounts for ~20% of US EBITDA at a 13x estimated base case EBITDA multiple.

Recently, Acadia notified potential buyers, that it will relaunch a formal sale process.

https://seekingalpha.com/news/3618567-raymond-james-sees-62-upside-for-acadia-healthcare

Ionis gets Orphan Drug tag for rare neurodegenerative disease

The FDA has designated Orphan Drug status to Ionis Pharmaceuticals's (NASDAQ:IONS) ION373 for the treatment of Alexander disease, a rare neurodegenerative disease, characterized by the destruction of the myelin sheath (fatty covering that protects the nerve fiber and supports signal conduction).

Alexander disease is caused by a mutation in a protein resulting in overproduction of glial fibrillary acidic protein (GFAP) in the brain, and ION373 is antisense medicine designed to stop the mutated gene from producing excess GFAP.

https://seekingalpha.com/news/3618591-ioniss-ion373-orphan-drug-in-u-s-for-rare-neurodegenerative-disease

One Medical collaborates to enter Houston

1Life Healthcare's (NASDAQ:ONEM) One Medical partners with Houston Methodist hospital to deliver seamless coordinated care.

The partnership, which comes as a part of One Medical’s planned target to enter Houston, Texas, will provide Houston area residents access to its membership-based primary care model that offers on-demand telehealth services as well as in-person care.

"Working with one of the nation’s premier health systems in one of the nation’s largest cities further advances One Medical’s mission of transforming health care for all through a human-centered and technology-powered model," says Amir Dan Rubin, Chair & CEO at One Medical.

See the company's Q3 outlook, here.

https://seekingalpha.com/news/3618601-one-medical-collaborates-to-enter-houston

Provention Bio advances U.S. marketing application for Type 1 diabetes med

Provention Bio (NASDAQ:PRVB) reports that it has filed the clinical module of its rolling U.S. marketing application for teplizumab (PRV-031) for the delay or prevention of type 1 diabetes (T1D) in at-risk people.

It initiated the process in April with the submission of the nonclinical module. It expects to file the chemistry, manufacturing and controls (CMC) module in Q4.

A Phase 3 study, PROTECT, launched in April. Its objective is to assess teplizumab's effect on slowing the loss/preserving the function of beta cells in children and adolescents recently diagnosed (in the previous eight weeks) with T1D.

Teplizumab is a CD3-targeted monoclonal antibody designed to slow the loss of insulin-producing beta cells in the pancreas while preserving beta cell function as measured by C-peptide.

https://seekingalpha.com/news/3618602-provention-bio-advances-u-s-marketing-application-for-t1d-med-teplizumab