An independent committee advised the FTSE 100-listed company to halt the studies for Farxiga, which is already under review to treat patients with heart failure.
AstraZeneca will now initiate discussions with global health authorities regarding early regulatory submissions.
In a note to clients, analysts at Shore Capital said they expect Farxiga to generate US$3bn by 2024.
In a separate announcement, the pharma giant also said that its Imfinzi drug has been approved in the US as a first-line treatment for extensive-stage small cell lung cancer, in combination with chemotherapies.
Imfinzi, which has already been approved for other types of cancer, is expected to generate sales of US$2bn this year and grow to US$4bn by 2024.
AstraZeneca shares rose 1% to 6,858p on Monday morning.
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