Shares in AstraZeneca fell 9 per cent today after it said one of its most important new drugs was no better than existing treatments for lung cancer.
At 11.44 a.m., AstraZeneca shares were down 139 pence, or 5.86 per cent, at 2,231 pence.
AstraZeneca revealed that recent trials show that its Iressa cancer drug in combination with platinum failed to improve survival rates in non-small cell lung cancer.
Further analyses is under way and the data will be presented at the European Society for Medical Oncology (ESMO) in October 2002, the group said.
The news is another blow for AstraZeneca and follows further delay to regulatory approval for its Crestor cholesterol drug in the United States.
Broker have downgraded estimates and ratings for the company, with analysts at Schroder Salomon Smith Barney cutting their rating down to "neutral, high risk" from the previous "buy, high risk".
Iressa and Crestor were seen by many as the next potential blockbusters for AstraZeneca, which has been hit hard by its Losec drug going off patent and legal challenges to its Prilosec formulation in the United States.