Summit Therapeutics, Inc. (NASDAQ:SMMT) stock is moving higher Monday following the company's announcement that it received marketing authorization in China for ivonescimab in combination with chemotherapy.
What Happened: Based on data from a Phase III HARMONi-A clinical trial, sponsored by Akeso, that showed promising results for treating certain cancers, China granted Summit the marketing authorization.
Specifically, the clinical trial included patients with certain types of advanced non-small cell lung cancer. The overall response rate for the combined treatment was 50.6% compared to 35.4% for those only receiving chemotherapy.
In addition, the study showed that ivonescimab in combination with chemotherapy led to a 54% reduction in the risk of disease progression compared to chemotherapy.
"We are excited to continue to develop ivonescimab with appropriate, accelerated pace and with the intent to make a significant difference for those patients who may benefit most from new, innovative therapies in lung cancer and other solid tumors," added Dr. Maky Zanganeh, CEO and president of Summit.
Separately, Summit announced that it accepted an unsolicited offer from an institutional investor to buy 22 million shares of its common stock at $9.00 each, raising $200 million in gross proceeds.
The company intends to use the proceeds in part to continue the development of invonescimab. Summit also intends to use the funds as working capital and for general corporate purposes.
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SMMT Price Action: Summit Therapeutics shares are trading 8.12% higher at $9.39, according to data from Benzinga Pro.
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