Aquinox Pharmaceuticals Inc (NASDAQ:AQXP) has started off the second half of the year on a rather unfortunate note. In June, the firm reported negative results for the phase II trials of its lead drug. After two weeks, the company has reported failure in phase II trials of another drug that was designed to treat chronic obstructive pulmonary disease.
The company’s investors were shaky about their faith in the company as evident by the stock performance. As a result, Aquinox shares dropped by more than half. The Canadian firm’s share value dropped by 66%.
Drug trial patients forthe AQX-1125 drug did not exhibit any improvements after taking a 200mg daily dose for a period of two weeks. The drug did not show any significant changes over the placebo during the primary and secondary endpoints. Towards the end of July, the company pointed out that the lead treatment had failed to culminate any significant outcomes for bladder pains. It marked a 2.4 point reduction on an 11-point scale against the placebo that marked a 1.3-point reduction. At the time, the company insisted that it was still working on the drug.
Aquinox Chief Executive Officer, David Main released a statement saying that trials for the flagship drug were healthy and conducted in the right way. The trial results were also irrefutable. He also pointed out that as a result of the encouraging results that have been identified in recent flagship drugs, Aquinox will place more focus on the AQX-1125 development.
Mr. Main also reported that the company is waiting for the trial results of a drug designed to treat Atopic dermatitis. Aquinox filed for an IPO in 2004 amid support from Pfizer Inc. (NYSE:PFE) and Johnson &Johnson (NYSE:JNJ). The announcement comes in the wake of fears that the increasing number of biosimilars in the market might be bad for performance.
The AQX-1125 drug boosts SHIP1, a vital part of the PI3K cellular signaling pathway that acts as an inflammatory regulator.