Alector Inc. shares plummetedโ over 60% on Monday after its lead drug candidateโ for early-stage Alzheimer’s disease failed to demonstrate โคaโ statistically notable slowing โฃof cognitiveโข decline in a โlate-stage clinical trial. The โdisappointing results represent a major setback for the โขbiotechnologyโค company and a potentialโ blow to the field of Alzheimer’sโ research, wich has seen numerous high-profile drug failures in recent years.
The โPhaseโค 3โฃ trial, known as Illuminate, evaluated Alector’s drug AL003 in 800 participants โฃwith mild cognitive impairment โdue to Alzheimer’s disease. While the drug was found to beโฃ safe and well-tolerated, it did not โฃmeet its primary endpointโค of improving cognitive functionโฃ compared to a placeboโข group over โค18 months.The failureโค underscores โฃthe immense challenge of developingโข effective treatments for Alzheimer’s, a โdevastating neurodegenerative disease affecting โคover 6.7 million Americans, and highlights the urgent need for newโข therapeutic approaches.
Alector initiated โฃa separate,ongoingโฃ trial called Transcend,evaluating AL003 in โindividuals with earlier stages โof Alzheimer’s disease,andโค plans to continue that study.Top-lineโค data from Transcend is expected inโ the โคfirstโฃ half of 2025. The company โขstated itโ is evaluatingโ the Illuminate data to understand potential reasons for the outcome and will present the full results at a future medical conference.
“We are deeply disappointed by these results,” said Dr. Arnon Rosenthal, CEO of Alector, in a press release. “We remain committed to our mission of developing innovative therapies for neurodegenerative diseases, and we willโฃ continue to advance our โขpipeline of programs.”
The stock closed at $8.48,โค down 63.8% from its Friday close of $18.62. The company’s market capitalization has fallen to approximately $450 million.
alzheimer’s diseaseโฃ is characterized by the accumulation of amyloid plaques and tau tanglesโ in the brain, โleading toโข neuronal damage and cognitive decline. Despite decades of research,there are โขcurrently limited treatmentโ options available,primarily focused on managingโฃ symptoms rather than slowing or halting disease progression. Recent approvals of drugs like Leqembi andโ Aduhelm, โwhich target amyloid plaques, have offered a glimmer ofโ hope, but thier clinical โbenefits have been modest and accompanied by safety concerns.
