Pieris Pharma slumps as partner AstraZeneca to stop asthma drug study

Palvella Therapeutics

21/06/2023 19:25

(Updates)
    ** Shares of biotech company Pieris Pharmaceuticals  PIRS.O 
fall as much as 72% to record low of 25 cents 
    ** Company says partner AstraZeneca  AZN.L  informed PIRS of
its decision to discontinue dosing in ongoing mid-stage trial
evaluating its experimental drug for treatment of asthma
    ** Decision was based on data from lab study which does not
support long-term development of the drug - PIRS
    ** Lab study data showed lung tissue damage in non-human
primates, which did not appear to be related to the drug, says
company
    ** PIRS will review the implications of the lab study data
and its overall priorities
    ** PIRS drug candidate, elarekibep, works by preventing
proteins that are responsible for a variety of inflammatory
responses in the lungs
    ** William Blair analysts say the update raises concerns for
PIRS' inhaled platform, Anticalin, through which the drug was
going to be administered
    ** Brokerage downgrades rating to "market perform" from
"outperform", says drug elarekibep and the inhaled platform were
clearly the value driver for PIRS
    ** As of last close, PIRS down ~14% YTD

 (Reporting by Bhanvi Satija in Bengaluru)
 ((Bhanvi.Satija@thomsonreuters.com; Outside U.S. +91
9873062788;))