This Summer, the FDA approved the first Alzheimer’s drug in nearly two decades. However, its approval came with controversy rather than cheers. 📣
Scientists and doctors echoed concerns about Aduhelm. The FDA ultimately barreled ahead to approve the drug. It came with one big condition: the drug’s maker, Biogen, will have to conduct more studies to prove the efficacy. However, in the meantime, they can sell Aduhelm.
And for the 5.8 million Americans with Alzheimer’s disease, that drug will come with a steep price: $56,000 per person, per year.
In effect, patients might be paying for a drug that doesn’t work. But patients, doctors, and families have been left with few options. There are few diseases to treat or slow the progression of neurodegenerative diseases such as Alzheimer’s. The companies that trial drugs in this space seldom succeed. But when they do, they win big. 🎰🎰🎰
That’s one reason why investors have thrown cash at a lesser-known biotech called Cassava Sciences. $SAVA has become an optimistic trade for investors because it’s trialing a drug for Alzheimer’s disease called simufilam. The drug’s open-label study reportedly showed that it stopped and reversed progression of the disease.
But this week, $SAVA plunged 44.9%. A citizen petition filed in New York alleges that Cassava used “data manipulation and biomedical image manipulation in prior studies.” The company deflected, indicating that its data was prepared by a third-party. That third-party ultimately denied the claims.
At this point, the FDA has not commented on whether or not it will halt the company’s ongoing late-stage study. However, it echoes the very-real FUD in this space. We’ll be tracking $SAVA‘s story. 👀