Coramitug was initially developed by Prothena and was acquired by Novo Nordisk in July 2021.
Shares of Prothena Corporation plc (PRTA) soared on Wednesday after Danish drugmaker Novo Nordisk (NVO) said that it expects to advance a drug developed by Prothena into a late-stage study for ATTR amyloidosis with cardiomyopathy.
On Stocktwits, retail sentiment around Prothena jumped from ‘bearish’ to ‘bullish’ territory over the past 24 hours, while retail chatter rose from ‘normal’ to ‘high’ levels.
A Stocktwits user expressed optimism for Prothena stock.
Shares of Prothena traded 13% higher at the time of writing, while NYSE-listed shares of Novo traded 4% down.
ATTR amyloidosis with cardiomyopathy (ATTR-CM) is a progressive and life-threatening disease where misfolded transthyretin (TTR) proteins deposit in the heart muscle, leading to heart failure. Prothena-developed Coramitug is designed to deplete the abnormal protein deposits.
Coramitug was initially developed by Prothena and was acquired by Novo Nordisk in July 2021. During Novo’s earnings call on Wednesday, the company said that it has successfully completed a mid-stage study of the drug and will now initiate a late-stage study during the course of 2025. The company also said that it will share detailed data from the mid-stage study at a medical conference later this year.
Under the terms of the agreement between Prothena and Novo Nordisk, the former company is eligible to receive up to $1.2 billion upon achievement of clinical development and sales milestones.
Prothena is also eligible to earn a clinical milestone payment when prespecified enrollment criteria are met in the late-stage clinical trial. To date, Prothena has earned $100 million from the deal.
PRTA stock is down by 43% this year and by about 61% over the past 12 months.
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