CytRx Corp. received special regulatory designation for an experimental drug meant to treat a type of cancer that affects soft tissue, the drug developer said Tuesday.
The Food and Drug Administration granted orphan drug designation, which awards certain tax and marketing incentives to drugmakers working on treatments for rare diseases. Generally the drug must be designed to treat diseases that affect less than 200,000 people.
The company's drug, INNO-206, is related to the chemotherapy therapy doxorubicin. CytRx plans to begin mid-stage trials of the drug in patients with soft tossue sarcoma in the second half of this year.
Shares of CytRx rose 3 cents, or 4.5 percent, to 71 cents in afternoon trading.