Omeros hit hard on knee surgery drug failure

Blaming "confounding factors," Seattle-based Omeros ($OMER) said its Phase III trial of knee surgery drug OMS103HP didn't meet any of the endpoints specified for the study. The drug is designed to improve joint motion and reduce pain in people who've undergone arthroscopic surgery to fix a major ligament in the knee. Omeros didn't elaborate on what factors led to the trial outcome.

"Given the strength of the data from previous clinical studies of OMS103HP, we are obviously disappointed and surprised by the outcome," stated CEO Gregory Demopulos. "As we learn more from our data analysis, we will provide additional information on our plans for OMS103HP." He emphasized that the study outcome doesn't mean the drug isn't effective, and shouldn't interfere with a planned Phase III trial of OMS103HP for surgery of the meniscus.

- here's Omeros' release
- read more from the AP