Terns Pharma down after scrapping obesity drug development following trial failure

Terns Pharmaceuticals

22/10/2025 10:44

** Shares of drug developer Terns Pharmaceuticals TERN.O fall 14.53% to $6.94 premarket

** Co says it will discontinue development of experimental obesity drug TERN-601 and not invest in other metabolic diseases after mid-stage trial

** Co says the experimental drug led to maximum placebo-adjusted weight loss of 4.6%, with nearly 12% of the patients discontinuing the treatment due to side effects

** Three patients had reversible liver enzyme spikes after treatment; two deemed drug-related, co says

** TERN reaffirms focus on experimental blood cancer drug TERN-701 for chronic myeloid leukemia

** Up to last close, stock up ~47% YTD

(Reporting by Sahil Pandey in Bengaluru)

((Sahil.Pandey@thomsonreuters.com))