The biotechnology industry can be a tough one. When trials are a success, a company’s stock flies. However, the opposite can occur when trials get rejected. On Tuesday, the latter happened to Bellerophon Therapeutics. After headlines of the Bellerophon INOpulse trial rejected reached the market, the stock plunged.
Bellerophon INOpulse Trial Rejected: The Facts
Sadly, Bellerophon Therapeutics disclosed today that INOvation-1, its Phase 3 clinical trial, has been rejected, due to its lack of ability to present a treatment effect.
CEO Fabian Tenenbaum put out a statement, announcing that the team is “disappointed in the overall efficacy results” of the INOpulse study. Tenenbaum then thanked “all of the patients and physicians who participated.”
This is sad for two reasons in particular. First, the study was looking at INOpulse in patients suffering from pulmonary arterial hypertension, which is a rare, progressive disorder. Second, this was a Phase 3 study, which means Bellerophon Therapeutics was so close.
So what were the reasons behind the rejection? Well, here’s what the independent Data Monitoring Committee said.
The Independent Data Monitoring Committee
According to the committee, even though the INOpulse treatment demonstrated improvements in PV resistance and there were no urgent safety concerns, the six-minute walk test proved to be insufficient.
Because of this, the committee didn’t see a reason for the continuation of the study and called for the trial to be terminated for futility.
The Bellerophon Therapeutics Stock (NASDAQ:BLPH)
The Bellerophon Therapeutics stock was down in both pre-market trade and early trading, as well at market close.
According to Yahoo Finance, Bellerophon Therapeutics was trading at $0.71 when the closing bell rang, which means the stock closed down 68.86%.
For those who don’t know, Bellerophon Therapeutics is a Warren, NJ-based company. It focuses primarily on creating products that are made up of novel drugs and devices, all of which can be used to treat cardiopulmonary diseases.
The Bellerophon INOpulse trial was rejected, but will this lead to the decline of the NJ-based company? I wouldn’t say so. Sure, the more than 60% plunge was unfortunate, but who knows— there’s always next week!
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