Athersys stroke treatment fails study, shares slide

[April 17, 2015] (Reuters) - Drug developer Athersys Inc said its cell therapy failed in a mid-stage study testing it as a treatment for a type of stroke, sending its shares down more than 50 percent in premarket trading.

Data showed that the therapy did not meet the primary and secondary endpoints of the study.

Athersys said on Friday patients given the cell therapy did not show a significant difference from those given a placebo as measured by the Global Stroke Recovery Assessment scale.

The study, which was to test the safety and efficacy of the treatment given between 24 and 48 hours after a stroke, showed that MultiStem was not better than a placebo when given after 36 hours, the company said.

However, data also showed that the therapy had better efficacy when given between 24 and 36 hours.

The Cleveland, Ohio-based company said mortality rate was lower and serious adverse events were fewer in patients taking MultiStem, compared to the placebo.

The company's shares fell to $1.06 in premarket trading.

(This version of the story adds details and shares)

(Reporting by Vidya L Nathan in Bengaluru; Editing by Don Sebastian)

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