InterMune (ITMN) plunged 12% late Monday after the biotech said it discontinued a late-stage trial of its Actimmune drug for idiopathic pulmonary fibrosis.
The Brisbane, Calif., company said it ended the so-called Inspire trial early after the drug failed to improve survival time in patients with mild to moderate impairment in lung function.
"We will promptly evaluate the implications of the Inspire study termination on our corporate strategy and our infrastructure," said CEO Dan Welch. "We expect to provide an update on this evaluation, including revised financial guidance, in the near future."
Shares fell $3.45 to $24.60.