BUZZ-Allakos falls over 70% after halting development of skin condition drug

** Drug developer Allakos' ALLK.O shares fall 72.7% to 33 cents premarket

** Co says its experimental drug, AK006, did not show clinical benefit in an early-stage trial testing it in patients with chronic spontaneous urticaria — a skin condition that causes itching and hives

** As a result, the company has decided to discontinue further clinical development of AK006

** Co also plans to reduce its workforce by 75%

** Co plans to retain about 15 employees to explore strategic alternatives, maintain compliance with regulatory and financial reporting requirements, and wind-down the early-stage trial

** Estimates it will have cash, cash equivalents and investments in a range of approximately $35 mln to $40 mln at June 30, 2025

** Stock had fallen 55.7% in 2024