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Friday, November 15, 2019

-=ResTORbio (TORC) : late-stage drug failure

  • Announced that top line data from the PROTECTOR 1 Phase 3 study did not meet its primary endpoint and that it has stopped the development of RTB101 in this indication.

ResTORbio (Nasdaq:TORC) disclosed Friday that its drug for potentially deadly respiratory tract infections did not meet its primary goal in a Phase 3 trial. Despite showing promise in earlier testing, the drug ultimately failed to decrease respiratory illnesses in subjects 65 years or older.

The drug, called RTB101, is resTORbio’s only clinical stage drug candidate. The 21-person company plans to continue developing the drug for use against Parkinson’s disease — a plan some analysts are skeptical will be fruitful.

“We regard the evidence of benefit or effect in the new Parkinson’s disease indication as very marginal, and given the complex biology of this disease, and the lack of understanding of the disease process, find it hard to give the company any credit for this indication,” SVB Leerink analyst Geoff Porges wrote in an analyst note Friday.

The company emerged out of life sciences incubator and investment firm PureTech Health with plans to tackle aging-related diseases. PureTech still owns a 27 percent stake in resTORbio, according to the company’s website.

ResTORbio has $117 million in cash and liquidatable investments, which executives estimate will support the company through 2020. The company expects to release data from its mid-stage Parkinson’s trial in mid-2020.

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