Shares of Sun Pharma Advanced Research Company Ltd (SPARC), a unit of India’s leading drugmaker Sun Pharmaceuticals Ltd, hit a 20% lower circuit on 4 June, following the announcement of Phase 2 trial results for the SCD-044 medication.
Vibozilimod, also known as SCD-044, was being studied for the treatment of psoriasis and atopic dermatitis.
Sun Pharma revealed that the medicine failed to fulfil the main endpoints in either study, and as a result, development of the SCD-044 is being halted, with no further clinical trials planned.
Sun Pharma and SPARC will now decide what actions to take next with the chemical.
This is a disappointing development, especially given that medicine was regarded as one of the company’s core assets in the speciality pipeline.
Earlier on Wednesday, reports suggested that a surprise examination was underway at Sun Pharma’s Halol facility, with three US Food and Drug Administration inspectors conducting the inspection.
Sun Pharma’s Halol business was last inspected in May 2022 and is currently on import alert following the warning letter. Halol is one of Sun Pharma’s major facilities.
At 1:06 pm, the shares of SPARC were trading 18.11% lower at Rs 159.84 on NSE.
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