Why Kintara Therapeutics Stock Is Down 70% Tuesday

Kintara Therapeutics Inc KTRA shares are trading lower by 69.2% to $1.16 Tuesday morning. The company has announced that their drug VAL-083 did not outperform existing treatments for glioblastoma, a severe brain cancer.

As a result, Kintara is discontinuing the development of VAL-083 and shifting their focus to REM-001, a localized tumor treatment. Kintara will also explore strategic options to maximize shareholder value.

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What Else?

The company says preliminary results from the study were disappointing, but further data is expected in 2024 to assess potential pathways for VAL-083. They plan to initiate a study for REM-001 in cutaneous metastatic breast cancer by the end of 2023, aided by a $2 million grant from the NIH.

REM-001 is a photodynamic therapy platform with a promising track record in previous clinical trials for various indications, including an 80% complete response rate in cutaneous metastatic breast cancer.

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According to data from Benzinga Pro, KTRA has a 52-week high of $15.50 and a 52-week low of $2.70.