Clovis Oncology Inc. ($CLVS) stock showed positive performance in its Monday trading session as the company announced the approval of its advanced ovarian cancer drug, Rubraca (rucaparib). The medication targets a mutation found in 15 to 20 percent of patients with ovarian cancer. The FDA also approved a companion test that screens for the mutation.
Clovis Oncology had been granted accelerated approval for the drug, nearly two months ahead of the schedule. The FDA was expected to announce the final decision by February 23, 2017. Such accelerated approval is generally given to the drugs with promising results which are required to be confirmed by additional research.
The new medication works by blocking an enzyme that helps cells to repair themselves. This helps in slowing the growth of tumor.
The company had recently announced its quarterly results. Clovis Oncology had reported nil revenue and its net loss for the quarter stood at $65.70 million. The company had suffered loss of $129.31 million in the corresponding quarter of the last year.
With the latest development, Clovis Oncology is likely to show better performance in the coming time. The company stock, which was recently downgraded from Hold to Sell by Vetr is also expected to show strong performance.