Why Avrobio's Shares Are Plunging Today

Avrobio Inc (NASDAQ: AVRO) has updated its pipeline deprioritizing its Fabry disease clinical program to focus on other clinical-stage studies in the lysosomal disorder pipeline. 

• The company has decided after new data from the five most recently dosed patients in Phase 2 FAB-GT clinical trial indicated variable engraftment patterns that could prolong the program's timeline. 
• The company will stop enrollment for the FAB-GT clinical trial and continue monitoring the previously dosed patients for a total of 15 years as required by regulators.
• However, according to safety data from all nine adults dosed in the Phase 2 trial and five adults dosed in the investigator-sponsored Phase 1 trial, there were no adverse events related to the experimental therapy AVR-RD-01 as of the latest data cut off.
• Avrobio has also updated key milestones in its clinical programs. 
• A clinical update on AVR-RD-02 for Gaucher disease type 1 is expected in H1 2022. In 2023, the company plans to start a clinical trial for AVR-RD-06 in Gaucher disease type 3.
• With $201 million in cash and cash equivalents as of September 30, the company says that the reprioritization has extended its cash runway until Q1 2024. 
• In November, it predicted its cash runway would be adequate until Q4 2023.
• Price Action: AVRO shares are down 15.8% at $3.40 during the premarket session on the last check Tuesday.