Altus shares dive as Genentech hands back drug rights

Shares of Altus Pharmaceuticals took a dive this morning after the biotech announced that it had reacquired the North American rights to a growth hormone program from Genentech. Altus immediately signaled its interest in a new partner for ALTU-238, with clinical trials set to resume in the middle of next year. Genentech paid Altus $30 million for the licensing rights and now will pay an additional unspecified sum as it transfers the product back.

"We continue to believe ALTU-238 can provide significant patient benefit with better dosing as a potential once-per-week treatment for growth hormone disorders," stated Sheldon Berkle, president and CEO of Altus Pharmaceuticals. "We intend to move this program forward. Altus stock plunged 19 percent on the news.

- check out the release for more information