Madrigal jumps on FDA approval for fatty liver disease drug

89bio

15/03/2024 14:04

(Updates)
    ** Shares of drug developer Madrigal Pharmaceuticals
 MDGL.O  rise 23.7% to $292.74, its highest since May 
    ** The U.S. FDA approved co's drug for a fatty liver disease
known as non-alcoholic steatohepatitis (NASH) late on Thursday,
making it the first treatment to get the nod for the condition
    ** MDGL's oral drug will be available under brand name
Rezdiffra from April
    ** Co has priced the drug at an annual wholesale price of
$47,400
    ** Canaccord Genuity analyst Edward Nash expects a quick
adoption and strong acceptance of the drug, citing "a highly
favorable safety profile with no significant red flags
identified in past clinical trials"
    ** Shares of 89bio  ETNB.O , whose NASH drug is in
late-stage development, rose ~4.6% to $13.19 after Rezdiffra's
approval
    ** MDGL stock up ~20% in the last 12 months

 (Reporting by Christy Santhosh)
 ((Christy.Santhosh@thomsonreuters.com))