Receptos (RCPT) Rallies Sharply on Phase 2 Study Results
Shares of Receptos Inc. (RCPT) surged +9.80 or +33.56 percent to $39.00 per share in pre-market trading on Tuesday, after the company announced yesterday that its RPC1063, in relapsing multiple sclerosis or RMS had met its primary endpoint in the Phase 2 part of its RADIANCE trial. RCPT stock closed up +3.20 or +12.30 percent to $29.20 per share in Mondayâ s regular trading session.
San Diego, California based Receptos Inc. is a biopharmaceutical company that develops treatments for metabolic and immune system diseases.
The companyÃƒÂ¢ s main program is for the S1P1R or sphingosine 1-phosphate 1 receptor known as RPC 1063, which is being used in the treatment of relapsing multiple sclerosis, RMS and inflammatory bowel disease or IBD. In addition, the company is developing RPC4046, a treatment for eosinophilic esophagitis. The Phase 2 portion of the RADIANCE trial met its primary endpoint successfully, with the reduction of in the cumulative number of total gadolinium enhancing or GdE lesions. The double-blind study was conducted with 258 patients against a placebo. The patients were located across 77 sites in 13 different countries. The test showed positive improvements through an MRI from week 12 to week 24 of the treatment study, which is a normal procedure for this type of evaluation. Patients treated with RPC 1063 showed significant reduction of 86 percent in GdE lesions in both 0.5 milligram and 1.0 milligram dosages compared to patients medicated with a placebo. Faheem Hasnain, President and Chief Executive Officer of Receptos stated in the companyÃƒÂ¢ s press release, "The positive results of the Phase 2 portion of RADIANCE exceeded our expectations with respect to the differentiation thesis for RPC1063," he continued, "Based on our analysis of the Phase 2 dataset, we believe that RPC1063 has the opportunity to be the best-in-class S1P receptor modulator. Our Phase 3 program is now well underway, positioning the program as the most advanced S1P receptor modulator in development for relapsing multiple sclerosis. In addition, we believe that RPC1063 may have promise in other therapeutic areas, and we continue to look forward to the results of TOUCHSTONE, our Phase 2 trial of RPC1063 in ulcerative colitis, in the fourth quarter of 2014." The safety and tolerability data on the trial supported a potential best in class profile. First dose changes in the heart rate of patients administered RPC 1063 were modest and consistent with findings the company made through an earlier QT study. Liver transminase elevation rates were low in patients receiving RPC 1063 compared to similar products already on the market or in development, and would support of a positive hepatic safety profile. Jeffrey Cohen, M.D., Principal Investigator of the RADIANCE trial and director of the Cleveland Clinic's Mellen Center for Multiple Sclerosis Treatment and Research stated that, "The results also showed a favorable overall safety profile, particularly in the critical areas of cardiovascular and hepatic side effects. The ongoing Phase 3 trial has been designed to confirm and extend these results." With RCP 1063 already in Phase 3 of RADIANCE trials, the company is currently enrolling 1,200 patients with RMS for the trials. RCPT stock is up almost +46 percent since last Friday on the news, with continued success with RCP 1063, the stock will probably hold on to its recent gains and test its highs. Other News About Receptos Receptos Reports First Quarter 2014 Financial Results
Company reported a net loss of -$1.01 per share, versus a loss of -$5.46 the previous year. (RCPT
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Published on Jun 10, 2014
By Jay Hawk