** Cancer drug developer Sellas Life Sciences Group's

shares rise 3.7% to $1.24

** Co says preclinical data showed its experimental drug, SLS009, demonstrated high efficacy in treating solid cancers with mutations in the ASXL1 gene

** Late last year, U.S. Food and Drug Administration granted SLS009 "orphan drug" status

** Orphan drug status is given to drugs that treat rare conditions, and are protected through a series of government incentives once in market

** Including session's gains, stock has risen 16.5% YTD

(Reporting by Kamal Choudhury in Bengaluru)

((Kamal.Choudhury@thomsonreuters.com;))