Here's Why CymaBay Therapeutics Is Collapsing Today
Shares of CymaBay Therapeutics (NASDAQ: CBAY) fell over 76% today after the company announced that it was halting the development of its lead drug candidate, seladelpar, in primary biliary cholangitis (PBC). The company also announced that it had decided to terminate the development of the drug compound as a potential treatment for nonalcoholic steatohepatitis (NASH) and primary sclerosing cholangitis (PSC).
CymaBay Therapeutics made the decision after doctors uncovered atypical histological findings in the first batch of liver biopsies taken from patients participating in the phase 2b NASH study. The news suggests that seladelpar may be causing unintended changes to the structure of tissues in the liver.
As of 3:09 p.m. EST, the pharma stock had settled to a 76.2% loss.
Source Fool.com
