(Reuters) -Biogen Inc said on Wednesday it would terminate a post-approval study of its Alzheimer’s drug, Aduhelm, after failing to find a partner or external financing for the controversial treatment.
The company will also discontinue sales of the drug, and has taken a one-time charge of $60 million for closing the Aduhelm program in the fourth quarter, it said.
Aduhelm, once expected to be the company’s next big blockbuster treatment, was riddled with controversy over its approval without clear evidence of patient benefit, and the U.S. Medicare’s decision to severely limit access cast serious doubt on its sales potential.
The shift will help the company focus on its second medicine Leqembi, which is led by Japanese partner Eisai, and develop newer treatments for the mind-wasting disease, Biogen said.
The company started looking for a partner or financing for Aduhelm in January last year as part of its strategic review to bring down costs, but could not find one despite an extensive search, the company said.
Aduhelm received accelerated approval in 2021.
Biogen has now transferred the rights of Aduhelm back to Neurimmune, from which it had licensed the drug in 2007.
(Reporting by Leroy Leo in Bengaluru; Editing by Maju Samuel)
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