Clinical Failure Halts Alector's Dementia Program, Company Reduces Workforce

Core Insights - Alector, Inc. announced results from the Phase 3 INFRONT-3 trial for latozinemab (AL001) targeting frontotemporal dementia caused by a progranulin gene mutation, which did not meet its primary clinical endpoint [1][2] Trial Results - The 96-week study did not achieve the co-primary endpoint of slowing FTD-GRN progression as measured by the Clinical Dementia Rating plus National Alzheimer's Coordinating Center Frontotemporal Lobar Degeneration Sum of Boxes [2] - Although there was a statistically significant effect on the biomarker co-primary endpoint of plasma progranulin concentrations, secondary and exploratory endpoints showed no treatment-related effects on FTD-GRN [3] - Preliminary safety data did not indicate major safety concerns, but further analysis is ongoing [3] Future Plans - The open-label extension of the INFRONT-3 trial and the continuation study for latozinemab will be discontinued based on the trial results [4] - Alector is collaborating with GSK on nivisnebart (AL101/GSK4527226) in a 76-week Phase 2 trial for early Alzheimer's disease, with trial completion expected in 2026 [5] Financial Outlook - As of September 30, 2025, Alector has approximately $291.1 million in cash and equivalents, expected to provide financial runway through 2027 [6] Analyst Commentary - William Blair downgraded Alector from Outperform to Market Perform, with analyst Myles Minter removing latozinemab from the FTD-GRN opportunity [7] - Despite observing plasma and CNS PGRN elevations to normal levels, the link between PGRN insufficiency and FTD-GRN remains uncertain [7] Stock Performance - Following the announcement, Alector shares fell by 51.09% to $1.57, nearing a 52-week low of $0.87 [8]