Novartis suspends delivery of cancer treatment as it address potential production issues

The U.S.-listed shares of Novartis AG NVS, -0.45% NOVN, -0.66% fell 2.6% in afternoon trading Thursday, after the Switzerland-based drug maker said it was “temporarily” suspending delivery of its cancer treatments Lutathera and Pluvicto in the U.S., as part of a quality review of its production sites in Millburn, New Jersey and Ivrea, Italy. The delivery suspension follows the company’s “temporary, voluntary suspension” of production of its radioligand therapy production sites in New Jersey and Italy, which is due to “an abundance of caution” while it addresses potential quality issues identified in its manufacturing process. The company said it is also putting a temporary hold on screening and enrollment for clinical trials of its cancer treatment Lu-PSMA-617. “Novartis takes this very seriously and the company is doing everything it can to resolve this issue and resume patient doses as quickly as possible,” Novartis stated. “Health authorities have been informed and will receive additional updates as they are available.” The stock has slipped 1.7% year to date, while the S&P 500 SPX, -0.57% has shed 12.8%.