Celgene Corp. (CELG) took a leap on Friday as a study on Revlimid, its blood-cancer drug, was stopped early due to the drug’s effectiveness.

The Phase III study being conducted by the National Cancer Institute, which is part of the National Institutes of Health, tested that Revlimidcould be used as a follow-up therapy for multiple- myeloma patients who had a stem-cell transplant.

Revlimid met the primary closing stages for the trial after it showed that patients on the drug had a 58 per cent reduction in their disease progressing process.

"We believe that the early stoppage implies a highly robust treatment effect in favor of Revlimid," JP Morgan wrote in a note.

In both the U. S. and Europe currently Revlimid is approved as a treatment for multiple-myeloma patients who after receiving at least one therapy had deterioration.

The company now plans to get the drug approved as a front-line therapy for the disease in the U. S. and Europe. Currently in the U. S. the drug is being used off-label as a front-line treatment, but Europe does not favour this.

Celgene spokesman Greg Geissman told Dow Jones Newswires on Friday that the company was unclear about the kind of market for the drug as a protection therapy after stem-cell transplants have taken place.

Celgene’s shares were up 10.3 per cent to $55.83 in recent trading. This reversed the slump the stock has had in recent weeks.

Celgene said in 2010 further results from the National Cancer Institute study will be presented.