Verastem Shares Hit Highest Level Since 2015 On Duvelisib Data

Verastem Inc VSTM shares gained 20 percent Monday morning and traded above the $7 per share mark for the first time since 2015 in reaction to an encouraging presentation delivered over the weekend.

What Happened

Versatem presented encouraging results from its lead candidate duvelisib at the 23rd Congress of the European Hematology Association on Saturday. 

New clinical data from an ongoing phase 1b/2 study evaluating duvelisib in combination with chemo-immunotherapy in younger and fit chronic lymphocytic leukemia patients achieved the following: 

• An overall response rate of 94 percent.
• Twenty-six percent of patients showed a complete response or complete response with incomplete blood count recovery.
• Sixty-eight percent of patients achieved a partial response.
• Patients showed a high rate of bone marrow MRD negativity of 76 percent, which is notably higher than historical data.

Why It's Important

"Collectively, the data presented at EHA this year continue to provide important insights to guide the future clinical development of duvelisib across a wide range of hematologic malignancies, both as a monotherapy and in combination with other agents," Verastem Chief Medical Officer Diep Le said in the press release.

What's Next

The U.S. Food and Drug Administration already accepted duvelisib for a priority review in early April. Investors are likely assuming data presented over the weekend bodes well for the therapy's approval process moving forward.

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