Neumora Therapeutics, a well-funded biotechnology company, has seen its valuation drop by over 80% after the failure of its most advanced drug in a major clinical trial. The “KOASTAL-1” study, which enrolled 383 adults with moderate-to-severe depression, found that Neumora’s navacaprant was no better than a placebo at alleviating symptoms.
The company had high hopes for navacaprant, which is designed to increase dopamine levels by inhibiting kappa opioid receptors. However, the trial results showed that women experienced greater responses to the drug, while men responded more strongly to the placebo.
Neumora’s CEO, Henry Gosebruch, downplayed the disappointing results, citing “encouraging trends” in the data. The company plans to provide further updates on its development program at an upcoming industry event.
Investors, however, have lost confidence in the program, with Neumora’s share price plummeting from $11 to under $2. Analysts are skeptical that the differences seen among men and women will translate to meaningful results for the drug’s development.
The company remains cash-positive, with $342 million in reserves as of September. Founded in 2019, Neumora has secured significant funding from prominent investors, including Amgen and Arch Venture Partners.
Source: https://www.biopharmadive.com/news/neumora-depression-drug-data-results-stock-navacaprant/736263