Published on 17 Aug 2023 on Zacks via Yahoo Finance
Biotech Stock Roundup: GLTO Plunges on Setback, BLUE Offers Updates & More
It was a low-key week for the biotech sector as the earnings season ended and nothing much came from the bigwigs. However, the smaller biotechs came out with key updates. Among these, Galecto, Inc, GLTO was in the spotlight as it suffered a pipeline setback.
Recap of the Week’s Most Important Stories:
Galecto Down on Study Failure: Shares of Galecto plummeted earlier in the week after the company announced that the phase IIb study, GALACTIC-1, failed. The study evaluated the safety and efficacy of inhaled GB0139 for the treatment of idiopathic pulmonary fibrosis (IPF). The trial compared treatment with the inhaled 3 mg dose of GB0139 to placebo (randomized 2:1) over 52 weeks. The GALACTIC-1 trial failed to meet its primary endpoint of change from baseline in the rate of decline in forced vital capacity (FVC) at week 52. Levels of galectin-3 increased from day 0 to week 52 in both the placebo and active GB0139 3 mg arms. Consequently, Galecto plans to discontinue the development of GB0139 and will instead focus on other candidates for severe liver diseases.