Investors bail as Nastech loses hefty partner Merck
So why highlight this story? No big reason, except that PYY 3-36 was hyped to the heavens by quite a few experts as the next big thing in satiety control. Nastech was out in front with its development. The other players are Amylin (developing an iv/sq formulation) and Emisphere (oral, of course). Last March, Nastech reported results of a prior Phase 1b study, which supposedly was quite encouraging, albeit preliminary in terms of efficacy, as a Phase 1b study should be. It’s interesting that the Merck-run study cited in this article was also called a Phase 1 study. It points out how a company can control to some extent perceptions over the import of its work. I’m not suggesting anything nefarious in this instance, but consider that Nastech’s stock dropped 37% on the news of a negative Phase 1 study result and Merck abandoning the product. Had it been a negative Phase 2 study result, would the reaction have been even more dramatic? I think it would have. So, what’s the future of PYY 3-36. Hard to say just yet, but if we get wind that Amylin’s abandoning its efforts too, you can stick a fork in it.
