Pfizer Inc. and Johnson & Johnson said Monday they are endingdevelopment of an intravenous formulation of a drug to treat Alzheimer'sdisease after the treatment failed in two late-stage clinical trials.
The companies said bapineuzumab intravenous did not work better than placebo intwo late-stage trials in patients who had mild to moderate Alzheimer's disease.
The drug is designed to prevent the buildup of plaque in the brain. J&Jsaid it is not discontinuing development of the compound and noted it hasongoing studies including a mid-stage neuroimaging study with bapineuzumabdelivered subcutaneously.
Johnson & Johnson made a big bet on bapineuzumab in 2009, agreeing toinvest up to $1.5 billion initially. The two companies said July 23 that thedrug had failed in a different trial.
Johnson & Johnson, based in New Brunswick, New Jersey, said it will take acharge of $300 million to $400 million in the third quarter.
Dublin-based Elan Corp. PLC, which licensed the drug to Johnson & Johnsonin 2009, said it will take a $117.3 million charge of its own.
U.S.-traded shares of Elan lost 10 percent, or $1.34, to $11.91 in after-hourstrading. Shares of New York-based Pfizer lost 2.7 percent, or 66 cents, to$23.60. Johnson & Johnson stock edged down by 84 cents, or 1.2 percent, to$68.
Current treatments for Alzheimer's can only temporarily ease symptoms of thedisease, which include increasing memory loss, confusion, wandering andaggression.
In the latest trial, bapineuzumab was tested on about 1,300 patients who lackeda gene that is associated with a greater risk of Alzheimer's. Last month thecompanies said the drug also didn't work on patients who do have that gene.Pfizer and Johnson & Johnson were running two other late-stage trials aspart of a very large testing program for the drug.
Worldwide, about 35 million people already have dementia, of which Alzheimer'sis the most common type. In the U.S., about 5 million have Alzheimer's. Findinga drug that could at least slow the disease has become a sort of Holy Grail inthe pharmaceutical industry. A successful medicine would be guaranteed togenerate billions in annual sales, given the world's aging population.