Big gain for Allakos as first-in-class GI program heads toward pivotal phase

Allakos' management team has plenty of experience in M&A, and a new Phase II readout in eosinophilic GI disorders could provoke interest in the company as a Phase III-ready bolt-on acquisition target.

Allakos Inc. (NASDAQ:ALLK) more than doubled in value Monday after reporting that its first-in-class program targeting sialic acid binding Ig like lectin 8 (SIGLEC8) met the primary endpoint in the Phase II ENIGMA study. Two combined dose cohorts of AK002 led to a 95% reduction in gastric or duodenal eosinophil counts vs. a 10% increase for placebo (p<0.0001) in patients with eosinophilic gastritis (EG) or eosinophilic gastroenteritis (EGE), including some with eosinophilic esophagitis (EoE)...