Glaxo (GSK) Hoping for More Gene-Research Loot

Now that GlaxoSmithKline (NYSE:GSK) has had its first success with Human Genome Sciences (NASDAQ:HGSI), they are hoping they'll be able to expand their offerings beyond the lupus drug, Benlysta, which was approved for use by the U.S. Food and Drug Administration.

Other drug studies being carried out by the partnership are in relationship to heart disease and diabetes.

In those categories they're still several years away from being marketed, and still must navigate successfully through the testing process before being considered for approval or not.

What's important for Glaxo and Human Genome is the understanding that there is an important part the mapping of the human genome can have on successful treatments.

Human Genome closed Thursday at $29.03, gaining $3.35, or 13.05 percent. Glaxo closed at $38.40, dropping $0.18, or 0.47 percent.

Biotech Doesn't Get Human Genome (HGSI) Bump

Negative economic news is weighing on the markets today, and even with the nice performance of Human Genome Sciences (NASDAQ:HGSI), it wasn't enough to push the sector up with them.

Human Genome Sciences was jumping over 12 percent after the FDA approved the company's Benlysta drug for the treatment of lupus. The drug is the first designed specifically to treat lupus, an incurable condition, afflicting 1.5 million Americans and 5 million people worldwide, Bloomberg News reported. GlaxoSmithKline (NYSE:GSK) is partnering with Human Genome Sciences on Benlysta. One analyst cited by Bloomberg said Benlysta sales could reach $2.3 billion in the U.S. and $3.6 billion globally in 2015.

The companies expect to have Benlysta available to doctors within two weeks, according to Human Genome.

Biomarin Pharmaceutical (NASDAQ:BMRN) is down 2% today. Biogen Idec (NASDAQ:BIIB) is lower by 1%. Both had unsuccessfully attempted to bring lupus treatments to the market in the past.

In other parts of the biotech sector, Transition Therapeutics (NASDAQ:TTHI) is plummeting 16% on high volume. Spectrum Pharmaceuticals (NASDAQ:SPPI) and Exelixis (NASDAQ:EXEL) are also trading at higher-than-normal volumes.

Human Genome was trading at $28.91, gaining $3.23, or 12.58 percent, as of 1:42 PM EST.

Human Genome Sciences' (HGSI) Lupus Drug Approved

Human Genome Sciences (NASDAQ:HGSI) had its lupus drug named Benlysta approved by the U.S. Food and Drug Administration; the first lupus drug approval in over 50 years.

Dr. Gary Gilkeson, chairman of the Lupus Foundation of America's medical scientific advisory council, said, "Getting this approval will lead to pharmaceutical companies wanting to continue to push and get other drugs approved."

There are approximatley 5 million people around the globe diagnosed with lupus, which can lead to chest pain, fatigue, skin rash and kidney damage, among other issues.

Side effects from the trials of Benlysta include diarrhea, fever, and nausea.

It is thought the drug should generate billions in sales around the world for Human Genome Sciences.

Now that Benlysta has been approved, hopes are companies like Pfizer (NYSE:PFE) and Eli Lilly (NYSE:LLY) will go forward with some of their development programs for the disease.

GlaxoSmithKline (NYSE:GSK)shares moved up on the news after hours, as they'll distribute it in America, along with Human Genome Sciences.

Human Genome closed Wednesday at $25.68, up $0.01, or 0.04 percent. After hours trading was halted on the company. GlaxoSmithKline traded after hours at $39.50, up $0.92, or 2.38 percent.