BUZZ-Sangamo Therapeutics plunges after Pfizer terminates partnership

Shares of drug developer Sangamo Therapeutics SGMO.O fall 54.7% to $1.06 premarket

On Monday, SGMO said Pfizer PFE.N terminated their partnership to develop hemophilia A gene therapy, giroctocogene fitelparvovec

Brokerage Truist Securities says the termination of the collaboration with Pfizer is "disappointing", as it means the planned marketing application filing for the gene therapy won't happen, and SGMO won't receive the expected cash infusion, leading to cash concerns

Brokerage TD Cowen says the decision is influenced by the limited commercial success of BioMarin's BMRN.O Roctavian, another gene therapy for hemophilia A

In July, PFE said the gene therapy for hemophilia A significantly cut the number of annual bleeding episodes in patients with the rare disorder in a late-stage study and performed better than the current standard treatment

The partnership termination is effective from April 21, 2025 - SGMO

SGMO said it plans to explore all options to commercialize the gene therapy, including seeking a new partner

As of last close, stock has risen 333.3% YTD

(Reporting by Kamal Choudhury in Bengaluru)

((Kamal.Choudhury@thomsonreuters.com;))