Positive clinical trial results for a drug candidate to treat lung cancer sent shares of this unprofitable biotech firm soaring–and turbocharged Robert Duggan’s net worth.Summit Therapeutics Chairman and co-CEO Robert "Bob" Duggan. His company, which licensed a cancer drug from a company in China in 2023, got good news on May 30, 2024.Talk about a stock bump.
Shares went on a tear following a statement issued Thursday by Summit that a phase 3 trial of its drug candidate ivonescimab outperformed Merck’s blockbuster drug Keytruda for patients with locally advanced or metastatic non small-cell lung cancer. For context, cancer immunotherapy drug Keytruda generated sales of $25 billion last year, reportedly making it the world’s top-selling medicine.
The trial of 600 patients was conducted in China by Summit’s partner, Hong Kong-listed firm Akeso. In December 2022, Summit announced it would license the experimental drug from Akeso for $500 million up front and an additional $4.5 billion if certain regulatory or commercial milestones are met. Summit stock closed Thursday at $10.92 a share, up from $2.93 on Wednesday.