Why Anything Can Happen In Biotech This Week

Will more positive clinical trial news find its way out prematurely on the eve
of this very critical medical meeting?  It is very possible and it could come
from one of the other

“Big Four” that I wrote about last week. Since Genentech’s anti-angiogenesis
drug was the first to break the ice, I suspect this class of anti-cancer
treatment could be the toast of the meeting. Avastin is a monoclonal antibody
that neutralizes a protein called Vascular Endothelial Growth Factor (VEGF). VEGF
is vital for stimulating the growth of new blood vessels, blood vessels that
cancer cells require as they multiply. If inhibitor drugs of VEGF become the
toast of the meeting, keep an eye on Regeneron
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anti-angiogenesis compound.

In addition to VEGF inhibitor drugs, much attention will also be paid to
companies presenting clinical data on Epidermal Growth Factor (EGF)
Inhibitors. Epidermal Growth Factor is a protein ingredient of the cytoplasmic
soup that nourishes growing cancer cells. Block this factor and you can
potentially stop the growth of susceptible cancer cells. Again, the main
companies in this niche are ImClone
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and OSI Pharmaceuticals
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companies will present much-anticipated clinical data on their perspective EGF
inhibitor drugs. Of the two, I suspect ImClone will experience the most
volatility because of its history. Investors are eagerly awaiting the results of
a European trial using ImClone’s drug C225/Erbitux in patients with metastatic
colorectal cancer. This is a difficult one to call.However, there are whispers
of a survival advantage in this study. If this clinical data does show improved
survival, watch out.

In addition to the “Big Four,” there are several other companies presenting at
ASCO that may command investor attention if their data is positive. Genzyme
Molecular Oncology
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on its developing adenoviral vector vaccine to treat advanced melanoma.  Cancer
vaccines have been in the news lately. The Wall Street Journal did a
feature last week on this potentially exciting approach to treat advanced
cancer. The Journal named two other companies, Dendreon
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are working in this space.

Medarex
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Abgenix
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monoclonal antibodies to treat a variety of diseases, including cancer, will
also have a presence at ASCO. Medarex is expected to reveal phase II clinical
data on its new drug MDX-010 to treat advanced melanoma. Abgenix is also
expected to release data from an ongoing trial testing its monoclonal antibody
drug ABX-EGF in patients with metastatic colorectal cancer. 

One final company I find
fascinating will also present clinical data on its novel approach to treat soft
tissue sarcomas and pancreatic cancer. This company is called
GenVec
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because of its unique use of adenoviral vectors to introduce suicide genes into
cancer cells. I also find it fascinating because the company attracted a lot of
investor attention several weeks ago when it promoted its technology to jump
into the SARS drug race. The company’s new drug is called TNFerade and is based
on inserting specific genes into cancer cells, genes that make the cells more
sensitive to chemotherapy and radiation therapy. 

All this makes for a very interesting biotech week.

Good Luck,