Gilead Sciences Inc. (NASDAQ: GILD) is being crushed after a disappointing result in its Hepatitis C treatment after reporting that a majority of hepatitis C genotype-1 patients who had a previous null response to an interferon regimen experienced viral relapse within four weeks of completing 12 weeks of treatment.
This result was in patients who were enrolled in the ongoing ELECTRON study with Gilead’s GS-7977 plus ribavirin. In this arm of the study, patients were randomized and the data is available for 8 out of the 10 patients at this time. Six of these eight have experienced a viral relapse and the two patients which have not relapsed have only reached two weeks after the point of measurement in the treatment.
Gilead shares are getting crushed in the pre-market. After closing at $54.81, the pre-market level is down 19.2% at $44.28 and the volume is active considering over two hours remain until the open. Gilead’s market value was $41.3 billion before this move, and if the pre-market drop of 19.2% holds up then nearly $8 billion in equity value will have been destroyed.
JON C. OGG