Investing.com-- U.S. shares of pharmaceutical giant Merck & Co rose to a record high in aftermarket trade on Tuesday after the U.S. Food and Drug Administration approved its drug for the treatment of a rare lung disease.
Merck & Company Inc (NYSE:MRK) rose 4.8% to an indicated record high of $131.6, after the FDA approved its therapy for treating pulmonary arterial hypertension (PAH), branded as Winrevair.
The approval adds another potentially blockbuster drug to Merck’s catalog, and comes after Merck saw positive results for its Phase 3 STELLAR trial, under which Winrevair was administered to adults suffering from PAH every three weeks.
The drug was seen reducing the risk of death by 84%, while also reducing severe symptoms.
Reuters reported that the drug will carry a list price of $14,000 per vial, and that Merck plans to bring Winrevair to market by end-April.
PAH is caused by the constriction of arteries in the lungs, which in turn causes high blood pressure and its associated symptoms. The condition usually causes death through heart failure.
The condition until now had no cure, with the World Health Organization keeping an untreated median survival of two to three years from the time of diagnosis.
The American Lung Association estimates that about 500 to 100 new cases of PAH are diagnosed each year in the U.S..