TORONTO – Eli Lilly (LLY) has opted to not advance a diabetes drug into a Phase III clinical trial it was developing in coordination with Canada-based Transition Therapeutics Inc. (TTH.TO), the companies announced today.
News of Eli Lilly’s withdrawal of support for Transition’s drug sent that company’s stock plummeting nearly 20 percent. The stock is currently trading at $1 per share, down from its closing price of $1.24 per share on Friday.
Development and possible commercialization of the experimental drug, TT401, will now rest solely with Transition Therapeutics. Lilly chose not to continue in the advancement of TT401 because the experimental drug did not demonstrate a significant advantage in lowering HbA1c, glycated hemoglobin, Seeking Alpha noted.
TT401 is a once-weekly administered oxyntomodulin analog, with dual agonist activity on the GLP1 and Glucagon receptors. The product profile for this class of diabetes drug candidates is to provide type 2 diabetes individuals with blood-glucose control and greater weight loss than GLP1 single agonists.
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