Regeneron Faces Wall Street Doubts; Madrigal Accelerates Introduction of MASH Medication

Here’s a summary of the latest updates from Regeneron Pharmaceuticals and Madrigal Pharmaceuticals, along with insights from UCB, AbbVie, and PTC Therapeutics that may have slipped under the radar.

Shares of Regeneron Pharmaceuticals experienced a decline of nearly 10% due to growing concerns around future sales associated with its primary product line, Eylea . The company is focusing on a new high-dose variant of Eylea in a bid to counter competition from Roche’s Vabysmo and impending biosimilar challenges. However, during the third quarter, sales amounted to 2 million, which fell short of analyst expectations and lagged behind Vabysmo’s equivalent-quarter performance, illustrating “slower-than-anticipated” market adoption, noted Leerink Partners analyst David Risinger. Nevertheless, forthcoming data on treatments for blood clots, lung cancer, and obesity could potentially help shift the narrative, according to RBC Capital Markets’ Brian Abrahams in a separate commentary. — Ben Fidler

UCB reported on Thursday some positive findings from a failed study involving their experimental Alzheimer’s treatment. The drug, known as bepranemab, targets a specific area on the “tau” protein, which is closely connected to Alzheimer’s disease. Although the mid-stage trial did not meet its primary endpoint, UCB highlighted that “key secondary objectives” showed its ability to decelerate cognitive decline and tau formation when compared to a placebo. Additional analyses revealed that certain patients receiving a high dose of bepranemab experienced a 29% reduction in disease progression. Alistair Henry, the Chief Scientific Officer, expressed that the results were “deeply encouraging.” — Jacob Bell

Madrigal Pharmaceuticals’ newly approved medication, Rezdiffra, for metabolic dysfunction-associated steatohepatitis (MASH), significantly exceeded Wall Street’s forecasts during the third quarter. According to earnings announced by Madrigal on Thursday, Rezdiffra sales reached million, surpassing the anticipated figure of around million. As of September 30, insurance coverage was confirmed for over 80% of individuals under private payers in the U.S. Following its strong launch, Madrigal’s stock rose nearly 40% by Friday morning. — Ned Pagliarulo

AbbVie has partnered with biotech company EvolveImmune Therapeutics to develop “multispecific” antibody therapeutics for cancer, as announced on Thursday. This collaboration permits Abbvie the option to license T cell engagers developed by EvolveImmune, refined for enhanced efficacy. AbbVie is set to provide million in cash along with an equity investment to initiate the partnership, with the potential for up to .4 billion in future milestones and option fees. — Ben Fidler

In another major development, a biopharma firm expressed interest in acquiring Longboard Pharmaceuticals but later retracted its per share offer prior to Lundbeck‘s successful acquisition agreement at that same price on October 14. Longboard also reached out to three other pharmaceutical companies, but none showed interest in a buyout. The context of the .6 billion transaction was shared via a filing with the SEC on Wednesday, revealing that Lundbeck had raised its offer five times from an initial bid of per share. — Ned Pagliarulo

The FDA is set to reassess PTC Therapeutics’ Translarna for Duchenne muscular dystrophy, as disclosed in a company announcement on Wednesday. Previously, PTC faced rejection from the agency regarding this drug, which has been available in Europe for some time but may soon face withdrawal there due to validity concerns. This current review signifies PTC’s resubmission, which due to the original filing occurring against the FDA’s advice, will not adhere to standard agency timelines. PTC maintains that the “totality of evidence,” including data from a patient registry, substantiates Translarna’s advantages. However, Leerink Partners analyst Joseph Schwartz cautioned, “we’re tempering our expectations given the FDA’s historical negative stance” on the drug. — Ben Fidler