Cassava Sciences Stock Plummets Over 80% After Alzheimer's Drug Fails

Shares of the American company Cassava Sciences experienced a sharp decline in trading on Monday, losing more than 80% of their market value, following the announcement of failed results from the company's drug intended to treat Alzheimer's disease in the third phase of clinical trials.

The company had tested its drug "Simufilam" on a group of patients with mild to moderate Alzheimer's disease. After a year of treatment, the results showed that patients taking the drug did not achieve a significant improvement in cognitive or functional decline compared to the placebo group, which represented a severe blow to the company's hopes of finding an effective treatment for this devastating neurological disease.

In a statement from Cassava Sciences' CEO, Rick Barry, it was noted that the company took careful measures to select patients meeting the study criteria, but the results of the placebo group showed less deterioration than what was expected based on previous studies conducted in the same field. Barry confirmed that the company is currently analyzing this data more deeply to understand the underlying reasons for these disappointing results.

In trading terms, Cassava Sciences' shares saw a significant decline of 84.21%, equivalent to $22.30 per share, bringing the stock price down to $4.18, the lowest level it has reached in nearly four years. This significant drop comes at a time when both investors and the company had pinned their hopes on the success of "Simufilam" as an innovative treatment for Alzheimer's disease.

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