Eli Lilly drops development of diabetes drug in Phase III
US drugmaker Eli Lilly (NYSE: LLY) has pulled out of the partnership with Transition Therapeutics (TSX: TTH) to develop its diabetes drug candidate.
Eli Lilly has informed it will not advance diabetes drug candidate, TT401 into Phase III development, Transition Therapeutics said in a statement. Under the collaboration agreement, all development and marketing rights for the drug candidate will be transferred to Transition.
Tony Cruz, chief executive of Transition, said: “We thank Lilly for their diligent development of TT401. The Phase II study demonstrated that TT401 has a very competitive product profile as a diabetes therapeutic and was superior to approved exenatide extended release on weight loss. As a leader in this new class of therapies, TT401 offers the unique opportunity of being a first-to-market product with a differentiated mechanism and activity from currently approved diabetes therapeutics.”
In February, mid-stage trials for the drug showed significantly better weight loss compared with AstraZeneca’s (LSE: AZN) Bydureon (exenatide).
Transition’s eligibility for royalties on sales of related Eli Lilly products remains unaffected by the current decision, the company said.
Shares in Transition Therapeutics dropped to close down over 32% to 1.06 Canadian dollars on the Toronto Stock Exchange.
Roche has announced that it has entered into a definitive merger agreement with Carmot Therapeutics, …
Eli Lilly has announced that the US Food and Drug Administration (FDA) has approved Jaypirca …