- Inovio Pharmaceuticals fell up to 39% on Monday after the biotech announced it would temporarily suspend the Phase 2/3 study of its coronavirus vaccine.
- The study is in “partial clinical standstill” pending Food and Drug Administration questions, Inovio said in a press release. The company plans to answer the questions in October.
- The news that the study had stopped triggered a trading break for Inovio shares before the opening bell.
- The bottom line is that holding is not associated with an adverse effect, and Inovio̵
- See the Inovio trade live here.
Shares in biotech company Inovio Pharmaceuticals fell up to 39% on Monday after the company announced a temporary suspension of the Phase 2/3 clinical trial of its coronavirus vaccine.
The study is in “partial clinical standstill” until the questions recently posed by the Food and Drug Administration are adequately answered, Inovio said in a press release. The agency asked questions about the study and the delivery device that will be used for the study.
Inovio plans to answer the questions in October. Once the answers are in, the FDA has 30 days to decide whether the clinical trial can continue. Inovio’s phase 1 study is still ongoing.
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Pre-IPO trading in Inovio shares was suspended early Monday shortly after the news. Stocks fueled after the halt was lifted.
It is crucial that the test is not related to an adverse event. AstraZeneca made waves earlier this month after a Phase 3 trial for its vaccine candidate was suspended due to an adverse reaction from a participant. The study continues to be paused in the U.S. as regulators investigate a number of neurological disorders that the participants suffer from.
Inovio shares closed at $ 16.94 per share on Friday, an increase of nearly 400% since the start of the year. The company has six “buy” ratings, one “hold” rating, and no “sell” rating with a median price target of $ 22.
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