Reata Pharmaceuticals Explodes as Company Meets Study Endpoint

Shares of Reata Pharmaceuticals were popping on Monday in after-hours trading as Wall Street learned that the company had achieved positive results from a clinical trial for a neuromuscular disorder treatment.

Reata announced that compared to a palcebo, the mid-stage study of its treatment omaveloxolone significantly improved symptoms of Friedreich’s ataxia.

Friedreich’s ataxia is a debilitating neuromuscular disease that results in loss of coordination, weakness and fatigue.

Shares of the stock saw a gain of over 33% on the news.

According to the company, there are currently no treatments approved by the Food and Drug Administration
for the disease, which affects about 22,000 globally.

“The results of MOXIe represent a truly historic moment for the patients, families, and caregivers that comprise the Friedreich’s ataxia community,” said Ronald Bartek, President of the Friedreich’s Ataxia Research Alliance (FARA).

“Based on the results reported today for omaveloxolone, we are hopeful that our community will finally have its first approved therapy that can slow this relentlessly progressive disease. We are extremely proud of, and grateful for, the FA community including all those who have participated in this clinical trial and in the natural history study important in designing the trial. We are also grateful to the clinical teams who conducted the trial and to our Reata colleagues. We look forward to continuing the Reata-FARA partnership as we work in pursuit of approval of the first FA therapy.”

“Patients living with Friedreich’s ataxia experience a devastating and progressive loss of neurological function. The MOXIe trial with omaveloxolone is the first study to demonstrate a significant improvement in neurological function in patients with FA. We believe that the MOXIe findings announced today bring us closer to our goal of providing an urgently needed therapy to patients with FA,” said Warren Huff, President and Chief Executive Officer of Reata.

“On behalf of everyone at Reata, I would like to express my sincere appreciation to all of the patients, families, and investigators who participated in the MOXIe study.”

Disclaimer: We have no position in Reata Pharmaceuticals Inc. (NASDAQ: RETA) and have not been compensated for this article.