Geron's Drug Alliance with Janssen Terminated, Shares Plummet 68%

A researcher in a lab

A researcher in a lab

Geron announced ahead of the market open that Johnson & Johnson (NYSE: JNJ)'s Janssen unit has made a decision to terminate a collaboration and licensing agreement it had with Geron since 2014 for its myelofibrosis treatment candidate Imetelstat, effective September 28. In a press release issued early this morning, the company said that Jannsen Biotech, Inc. has terminated a CLA entered into with the company in 2014. As a result, Geron has regained the global rights to develop and commercialize imetelstat.

The transition will take place over approximately 12 months with operational assistance from Janssen. Janssen will supply imetelstat to Geron for up to two years.

Imetelstat is being studied in two separate Phase 2 trials dubbed IMbark and IMerge, with the former testing the candidate for myelofibrosis and the latter for myelodysplastic syndromes.

HK banks increase rates for the first time in 12 years
According to the website of HKMA, the base lending rate raised by 25 basis points to 2.5 percent, effective immediately. But cooling the world's bubbliest property market could tax economic activity.

Patients now enrolled in the ongoing imetelstat clinical trials in myelofibrosis (IMbark) and myelodysplastic syndromes (IMerge) will continue to be supported through the respective trial protocols, including treatment and follow-up. "We also believe the combined data of 38 patients from the initial and expansion cohorts for the target patient population from the Phase II portion of IMerge support further development of imetelstat, and we are therefore prioritizing the initiation of the Phase III portion of IMerge". The primary endpoint is the rate of red blood cell transfusion independent (RBC-TI rate) lasting at least eight weeks.

The Company has revised its financial projections and now anticipates 2018 operating expenses to be ~$37M (previously $30M). The higher costs are projected for the hiring of additional personnel and external service providers to develop Imetelstat. As of August 31, 2018, the company had roughly $183 million in cash and marketable securities, which is expected to be sufficient to support its plans to initiate the Phase 3 portion of IMerge in 2019. In particular, we're interested in following the story surrounding the company's continued work to bring imetelstat.

Geron's stock was down 68% in premarket trading, a reversal of its 40% spike when the companies inked the deal four years ago.

Recommended News

  • Indonesia earthquake and tsunami leaves scores of people dead

    Indonesia earthquake and tsunami leaves scores of people dead

    Earlier Friday, a 6.1 magnitude quake killed one person, injured several others and damaged dozens of homes, according to the AP. The region was rocked by a magnitude 7.5 quake and numerous strong aftershocks, including one of magnitude 6.7.

    Veterans help Europe seize Ryder Cup lead with foursomes whitewash

    Former Chelsea captain John Terry was not at the course yet but did post a video of him flying over to France on Instagram. Because of water surrounding the green, Woods told Reed he would lay up and make 4 to at least stay in the hole.

    Tiger Woods Battling Injury On Ryder Cup Weekend

    While the Americans have the edge, the Europeans are used to coming from behind. "They played a great session of golf from top to bottom".
  • Ariana Grande canceled Saturday Night Live premiere performance due to 'emotional reasons'

    Ariana Grande canceled Saturday Night Live premiere performance due to 'emotional reasons'

    When one user apologised in case fans had upset her, Ariana admitted that she probably should have kept her feelings to herself. The star has gone through one of the happiest times in her life recently, as she became engaged to her fiancé Pete Davidson .
    CBS subpoenaed for Moonves sexual misconduct probes

    CBS subpoenaed for Moonves sexual misconduct probes

    The New York State Attorney General has also requested information about the allegations, CBS said. The New Yorker was one of the publications that broke the story of allegations against Weinstein.
    How Day One of the Ryder Cup panned out

    How Day One of the Ryder Cup panned out

    Ian Poulter and Jon Rahm were the only Europeans to be down, with Justin Thomas and Jordan Spieth one-up through 11. British Open champion Molinari, as he did in the win over Woods and Reed, made the winning putt.
  • Iranian President Hassan Rouhani rules out meeting with President Donald Trump

    Iranian President Hassan Rouhani rules out meeting with President Donald Trump

    Aside from Iran, the other participants are Britain, China, France, Germany, Russia and the European Union. The accord with OPEC member Iran was negotiated under Democratic US President Barack Obama .
    World's first human case of rat disease found in Hong Kong

    World's first human case of rat disease found in Hong Kong

    The virus causes hepatitis, an inflammation of the liver, and can not be cured but usually heals on its own. Symptoms include fever, vomiting and jaundice, and in rare cases liver failure.
    Trump says he would have pushed Kavanaugh through

    Trump says he would have pushed Kavanaugh through

    She said that Kavanaugh's declaration of "innocence" and lack of sexual inactivity in high school on Fox News is a lie. She describes the pair as "joined at the hip" and says she "consistently saw them together in many social settings".
  • Ryder Cup studs and duds from Day 1 at Le Golf National

    Lost in the disappointing showing from the US side was that Woods and Reed did not participate in the afternoon. It would give the Americans a boost if they could jump out to a lead and pump some life back into the team.
    Elon Musk Is Being Sued by the SEC for Fraud

    Elon Musk Is Being Sued by the SEC for Fraud

    The Wall Street Journal report that the SEC is also looking at whether Tesla misled about production problems with the Model 3. The shares fell 10 percent in after-hours trading on Thursday to $277.50, a fall of 25 percent since the August tweet .
    The first Apple computer in history sold for 375 000$

    The first Apple computer in history sold for 375 000$

    A working version of Apple's very first product, the Apple I computer , has been sold for $375,000 at an auction in Boston . Cupertino, California-based Apple recently became the world's first publicly traded company to be valued at $1 trillion.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.