Sage Therapeutics Lags PRISM Mental Health Index on Failed Phase 2 Study Results, Drops 20%
Today shares of Sage Therapeutics (SAGE) have fallen ~20% on its announcement that its Biogen (BIIB)-partnered treatment for essential tremor failed in a Phase 2 study. The company was the largest detractor in the PRISM Mental Health Index.
The companies announced that patients taking their drug did not exhibit a statistically significant improvement in tremors or daily living activities. Consequently, Biogen and Sage are halting the ongoing study of SAGE-324.
Sage stock plummeted 18.7% to $10.64, while Biogen stock saw a slight gain, trading at $225.19.
Previous tests showed nearly 40% of patients discontinued treatment due to side effects, with nearly two-thirds reducing their doses because of issues like sleepiness and dizziness. This raised doubts about the drug’s commercial viability even if it showed some efficacy in Phase 2 trials.
