Geron Stock Soars on FDA Approval of Drug for Patients With Rare Blood Cancers

Geron (GERN) shares skyrocketed over 19% in intraday trading Friday after the Food and Drug Administration (FDA) approved the biopharma company’s drug Rytelo for those with rare blood cancers.

Geron’s Rytelo is for adults who suffer from low- to intermediate-1 risk myelodysplastic syndromes (MDS) and need to receive transfusions of four or more red blood cell units over eight weeks.

Geron Says Rytelo Could Help Extend Time Between Transfusions

Geron CEO John Scarlett said that those taking Rytelo potentially could go for more than 24 weeks without transfusions and symptomatic anemia. 

Rami Komrokji, who was an investigator in the injectable drug’s Phase 3 trial, said that for patients with lower-risk MDS and anemia who need blood transfusions, there are few options available. He noted that the addition of Rytelo could be “potentially practice-changing for us.”

Geron’s Rytelo Could Compete With Bristol Myers Squibb’s Reblozy

Rytelo is expected to compete with Bristol Myers Squibb’s (BMY) Reblozyl, which the FDA approved last summer.

Geron said it plans “to ensure broad access” to Rytelo for those eligible to take it. The wholesale cost will be $9,884 for the 188-milligram (mg) vial, and $2,471 for the 47-mg size, Reuters reported. A common dose of Rytelo is 7.1 mg of the drug per kilogram of patient weight.

Geron shares soared over 19% to $4.67 as of 3:15 p.m. ET Friday following the news. They’ve more than doubled in value so far this year.