Investors quickly mugged Depomed shares (DEPO) this morning after hearing that two late-stage trials of Serada--intended to treat menopausal hot flashes--managed to successfully achieve only one of four key goals after 12 weeks of therapy. Its shares plunged 41 percent on the news.
Researchers say that Serada looked promising for all four co-primary endpoints after four weeks of therapy at a dose of 1800 mg, with a significant drop in frequency and severity of hot flashes. But the positive effects were largely gone by 12 weeks, falling short of statistical significance compared to placebo on three out of four key goals.
"We remain very enthusiastic about Serada and our menopausal hot flash program. There is a large unmet need for a non-hormonal hot flash therapy, and we believe Serada has the potential to address that need," said Carl Pelzel, Depomed's president and CEO.
- here's Depomed's release for more information