Amylyx to buy bankrupt Eiger's experimental drug to treat low blood sugar

Amylyx Pharmaceuticals

21/06/2024 22:59

June 21 (Reuters) - Amylyx Pharmaceuticals  AMLX.O  has
agreed to buy the rights to bankrupt drugmaker Eiger
BioPharmaceuticals'  EIGRQ.PK  experimental drug for low blood
sugar in a $35.1 million deal, Eiger said in a filing on Friday.
    Amylyx's acquisition of avexitide would mean a foray into
drug development for metabolic diseases. The company had so far
been a developer of drugs to treat neurodegenerative diseases. 
    Avexitide is a GLP-1 antagonist drug that help treat low
blood sugar, the opposite of what diabetes and weight-loss
medicines such as Novo Nordisk's  NOVOb.CO  Ozempic and Wegovy,
and Eli Lilly's  LLY.N  Mounjaro and Zepbound do. 
    In April, Amylyx announced its plans to remove Relyvrio -
its approved drug for amyotrophic lateral sclerosis (ALS) - from
the market after failing in a key late-stage trial.
    Amylyx did not immediately respond to Reuters' request for
comment.
    Eiger has tested avexitide in mid-stage studies as a
potential treatment for low blood sugar caused by bariatric
surgery and also a metabolic disorder called congenital
hyperinsulinism.
    Congenital hyperinsulinism occurs in newborns and causes
permanent brain damage and life-long insulin-dependent diabetes.
    Separately, Eiger had filed for Chapter 11 bankruptcy in
April.

 (Reporting by Puyaan Singh in Bengaluru; Editing by Alan
Barona)
 ((Puyaan.Singh@thomsonreuters.com;))