Centessa eyes record low after ending kidney disease drug development

Centessa Pharmaceuticals

02/06/2022 13:04

** U.S. shares of UK-based biotech Centessa Pharmaceuticals
Plc  CNTA.O  fall 11.1% to $4.00 premarket; set for lowest level
since listing a year ago, if losses hold
    ** Co says it will discontinue the development of its
investigational drug lixivaptan in ADPKD, a kidney disease
 urn:newsml:reuters.com:*:nGNE19cSQY
    ** Lixivaptan is the lead drug candidate of CNTA's unit,
Palladio Biosciences Inc; co had begun pivotal trial of drug in
Dec 2021  urn:newsml:reuters.com:*:nFWN2SZ0KX
    ** "We believe that lixivaptan is unlikely to achieve the
differentiated safety and tolerability profile Centessa required
for further development of the program," says CEO Saurabh Saha
    ** Says the decision was based on a reassessment of
lixivaptan's commercial potential, including the likelihood of
more challenges and higher costs
    ** Reassessment follows observation of higher levels of ALT
and AST, two proteins associated with liver damage, in one of
the subjects of its open-label study
    ** Now expects cash runway to extend into 2026
    ** Stock has fallen 77.5% from its IPO price of $20/ADS in
May last year

 (Reporting by Ruhi Soni in Bengaluru)
 ((Ruhi.Soni@thomsonreuters.com
Twitter: https://twitter.com/ruhithere))