Why Biotech Stars Summit Therapeutics and BioNTech Plunged, Even as This Chinese Rival Surged Today

3 months ago 35

Billy Duberstein, The Motley Fool

Fri, Apr 25, 2025, 2:05 PM 4 min read

Shares of biotech companies progressive successful the improvement of monoclonal antibody crab therapies were moving each implicit the spot connected Friday. Both U.S.-based Summit Therapeutics (NASDAQ: SMMT) and BioNTech (NASDAQ: BNTX) were down significantly, plunging 36.1% and 15.4%, respectively, successful Friday's trading.

The terrible moves were apt related to a Chinese rival successful the PD-1/VEGF bispecific antibody area, Akeso (OTC: AKES.F), receiving FDA support for a crab cause that utilizes akin technology, arsenic good arsenic an further support successful China. As a result, Akeso shares were up 11.7% connected Friday.

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Of note, Akeso is besides a adjacent spouse of Summit, making the divergent moves each the much interesting.

Today, Akeso announced that the Food and Drug Administration (FDA) had approved penpulimab-kcqx, Akeso's archetypal internally developed biologic drug, for the attraction of nasopharyngeal carcinoma (NPC), a benignant of crab that develops adjacent one's sinuses. In addition, Akeso besides disclosed it had received support for ivonescimab by China's National Medical Products Administration (NMPA) for usage against PD-L1-positive non-small compartment lung cancer.

Of note, bispecific antibodies usage proteins to artifact receptors successful immune cells that cancers people to halt the immune strategy from responding, portion besides stimulating immune cells to combat crab cells.

It's unusual that Summit is plunging truthful much, fixed that Ivonescimab is its drug, which Summit developed successful concern with Akeso. However, lone Akeso has the rights to the cause successful China.

Earlier this week, Summit disclosed affirmative signifier 3 proceedings information for ivonescimab successful operation with chemotherapy successful a Chinese trial. In response, the banal skyrocketed. Today, that trial's results were cited by the NMPA arsenic grounds for approval. However, the U.S. support process whitethorn beryllium much lengthy. Given that Summit is inactive awaiting FDA support for ivonescimab successful the U.S. Europe, Canada, and Japan, wherever it has rights, investors whitethorn beryllium selling Summit's banal aft its large tally earlier this week and buying Akeso, since Akeso whitethorn person gross and nett from the cause quicker.

The antagonistic absorption for Summit whitethorn besides beryllium that Akeso whitethorn beryllium capable to bring penpulimab-kcqx to different cancers oregon that its different in-house developed crab drugs could perchance vie with ivonescimab. That being said, Akeso's FDA-approved cause is presently targeted for NPC, not lung cancer.