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Why Adaptimmune Therapeutics Crushed the Market Today

By Eric Volkman - May 20, 2021 at 5:49PM

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A key pipeline drug performs well in a mid-stage clinical trial.

What happened

Adaptimmune Therapeutics (ADAP 5.78%), a biotech company active in the hot immunotherapy segment, was a high-temperature stock on Thursday. Following the release of detailed phase 2 clinical trial results for a promising cancer treatment, the company's shares rose by nearly 4.5% on the day.

So what

In advance of a June industry congress, Adaptimmune unveiled the results of its SPEARHEAD-1 study. This was undertaken to gauge the efficacy of its afamitresgene autoleucel, or afami-cel, to treat synovial sarcoma (cancer of soft tissue such as muscles or ligaments) and myxoid/round cell liposarcoma (MRCLS; a cancer of the cells that store fat).

Cancer attacking an organism.

Image source: Getty Images.

Adaptimmune said that afami-cel was efficacious in patients who were heavily pre-treated for their condition. Of the 33 synovial sarcoma patients in the study that were efficacy-evaluable, 13 demonstrated remissions. Of these, two were complete. The overall response rate, according to the biotech, was 39% among those 33 people.

As for MRCLS, the rate was 25% of the four individuals in the trial.

"We have shown a high response rate and these responses are still evolving in many patients with increasing depths of response over time and encouraging durability," the biotech quoted its CEO Adrian Rawcliffe as saying. 

Now what

Adaptimmune plans to file a Biologics License Application (BLA) with the FDA next year; Rawcliffe expressed confidence that the study's results will bolster its chances for getting approved "and offer a life-changing treatment for people with synovial sarcoma." His optimism seems to have spread to investors.

 

Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

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