Zai Lab down as lung cancer device study raises concerns over commercial use

NovoCure

07/06/2023 15:21

** U.S.-listed shares of Zai Lab Limited  ZLAB.O  extend
losses, down 9.6% to $30.3
    ** Stock biggest loser on Nasdaq Biotechnology index  .NBI 
    ** An experimental device, co-developed by ZLAB and Novocure
 NVCR.O , to treat a type of lung cancer helped in extending
overall survival among patients in a late-stage study, the
companies said on Tuesday
    ** Data from the study showed the device, along with a class
of immunotherapies known as immune checkpoint inhibitors (ICI),
extended survival by about eight months, compared to patients
treated with ICI alone
    ** However, only a small group of patients enrolled in the
study were previously treated with ICI in first line setting,
while a majority of the patients were given the ICI as
second-line treatment in the study
    ** Some analysts say the device may not do well commercially
at least in the U.S. where checkpoint inhibitors are currently
the standard of care
    ** Shares of ZLAB closed 5.3% down on Tuesday
    ** Including session's losses, ZLAB stock down ~2% YTD

 (Reporting by Khushi Mandowara in Bengaluru)
 ((Khushi.Mandowara@thomsonreuters.com;))