Story
Alnylam, BridgeBio Shares Jump After Rival Ionis's Heart Drug Fails Late-Stage Study
Summary
Shares of Alnylam Pharmaceuticals and BridgeBio Pharma surged in premarket trading after Ionis Pharmaceuticals announced its competing heart disease drug, Wainua, failed to meet its primary goals in a late-stage clinical trial.
Shares of Alnylam Pharmaceuticals and BridgeBio Pharma rallied in premarket trading Thursday after a potential competing drug from Ionis Pharmaceuticals failed a critical late-stage trial. The news reshapes the competitive landscape for a specific type of nerve and heart disease, benefiting companies with already approved treatments.
Ionis Drug Fails Key Cardiovascular Study
Ionis Pharmaceuticals announced that its drug Wainua, co-developed with AstraZeneca, did not meet the primary goals of a late-stage study. The trial was designed to show that the treatment could reduce cardiovascular deaths and recurring heart-related problems in patients with a specific nerve disease.
Following the announcement, shares of Ionis plunged 21.8% to $67.80 in premarket trading. The trial's failure is a significant setback for Ionis and AstraZeneca, diminishing what analysts had projected could be a $2 billion peak-sales opportunity for Wainua in this indication.
Boost for Competitors
AdThe market reacted positively to the news for Ionis's competitors, who now face one less potential rival in the space. Both Alnylam and BridgeBio market their own approved therapies for the same condition.
- Alnylam Pharmaceuticals (ALNY) shares jumped 16% in premarket trading.
- BridgeBio Pharma (BBIO) shares gained 10%.
The setback for Wainua solidifies the market position for these existing treatments, as a major near-term competitive threat has been removed. This allows Alnylam and BridgeBio to continue their market penetration with less anticipated pressure on pricing and market share.