- Merck KGaA
- 25 June 2024 13:55:15
Source: Sharecast
The development was the latest in a series of significant setbacks for the company's pharmaceutical division, according to Reuters.
It would be particularly impactful for Merck's pharmaceutical unit, which also faced disappointment last December when an experimental multiple sclerosis (MS) drug did not meet its primary objectives in late-stage trials.
In 2021, the experimental cancer treatment bintrafusp alfa also failed in trials, leading to the termination of a partnership with GSK.
Reuters said the failure of xevinapant would redirect attention to Merck's other business segments, including specialty chemicals for the electronics industry and laboratory equipment for the biotech sector.
Analysts at Barclays expressed concern, noting that while they were optimistic about Merck's overall business prospects, the company would need to rebuild its reputation regarding its drug development pipeline.
At 1425 CEST (1325 BST), shares in Merck KGaA were down 7.78% at €154.05.
Reporting by Josh White for Sharecast.com.