Plymouth Meeting’s Harmony Biosciences saw its stock tumble more than 16% this week, writes John George for the Philadelphia Business Journal.
The drop came after the company announced disappointing results for a key experimental drug targeting Fragile X syndrome.
The drug candidate, known as ZYN002, is a cannabidiol-based gel acquired through Harmony’s 2023 purchase of Devon’s Zynerba Pharmaceuticals. It was being studied in a phase 3 trial as a potential treatment for Fragile X, a rare genetic disorder and the most common inherited cause of intellectual disability and autism.
More than 80,000 Americans are estimated to have the condition, which currently lacks an FDA-approved therapy.
ZYN002 failed to meet its primary goal of reducing social avoidance, a hallmark symptom. Still, Harmony leaders said the study offers valuable insights. “Although the study did not achieve its primary endpoint, the findings from this study provide valuable insights into Fragile X syndrome,” said Chief Medical and Scientific Officer Dr. Kumar Budur.
Harmony’s shares closed at $26.76 on Wednesday, down 22% for the year. Despite the setback, the company continues to see strong growth from Wakix, its flagship narcolepsy drug, which fueled $714.7 million in revenue last year and a $145.5 million profit.
To learn more about Harmony Bioscience’s testing and Fragile X syndrome, visit the Philadelphia Business Journal.
