* High rates of adverse events in mid-stage study
* Compares poorly to standard of care - analyst
* Shares touch a year low
(Adds analyst comment, updates share)
By Anjali Rao Koppala
Sept 15 (Reuters) - XenoPort Inc's XNPT.O psoriasis drug
showed high rates of gastrointestinal-related side effects,
overshadowing its success in a mid-stage study.
The company's shares, which rose as much as 19 percent
premarket, fell sharply in regular trading after the company
said on a conference call that a third of its patients in the
study dropped out due to the side effects.
During the trial of the drug, XP23829, in patients suffering
from the chronic skin disease, adverse events related to
diarrhea were 22-40 percent in the drug group, compared with 15
percent in the placebo group, the company said.
XenoPort should stop spending limited resources on a drug
that, while active, appears to be inferior to the standard of
care in psoriasis, Cowen & Co analyst Eric Schmidt wrote in a
note.
The drug's profile compares poorly to Celegene Corp's
CELG.O Otezla, which was approved last year for psoriasis, and
Biogen Inc's BIIB.O multiple sclerosis drug Tecfidera, the
analyst said.
The company said gastrointestinal events, which also
included nausea, abdominal pain and vomiting, were the most
frequent side effects.
XenoPort, however, said it expected to start late-stage
trials next year and that it would explore partnerships to speed
up the development of the oral drug globally.
Psoriasis, one of the most prevalent yet difficult-to-treat
autoimmune diseases, causes itchy or sore patches of thick, red
skin with silvery scales.
The disease is estimated to affect 2.0-2.6 percent of the
U.S. population, with higher incidence in Caucasians, according
to the National Institutes of Health.
About 15 percent of psoriasis patients may eventually
develop psoriasis arthritis, a debilitating joint condition.
XenoPort said both 800 mg and 400 mg doses of the drug
reduced the severity of psoriasis. ID:nBw81M52ja
The U.S. Food and Drug Administration earlier this year
approved Novartis' NOVN.VX injectable drug, Cosentyx, for
treating psoriasis. Eli Lilly & Co LLY.N is also developing
Ixekizumab for treating the disease. ID:nL8N0ZC3DV
Canada's Valeant Pharmaceuticals International Inc (NYSE:VRX) VRX.TO
VRX.N also bought rights to AstraZeneca Plc's AZN.L
late-stage experimental psoriasis drug brodalumab after it was
dropped by Amgen Inc AMGN.O in May. ID:nL4N1172U8
The company shares fell 25 percent to their year low of $5
in mid-day trade on the Nasdaq.