Targacept to drop TC-6987 in diabetes on mixed trial results

US drug developer Targacept (Nasdaq: TRGT) saw its shares drop 5% to $5.12 ,after the company announced mixed results of its Phase II studies with TC-6987, and announcing its decision to drop development of the products as a treatment for diabetes.

Targacept, which is developing novel NNR Therapeutics, announced top-line results from two separate exploratory Phase II studies of its product candidate TC-6987 conducted in the USA, one in asthma and one in type 2 diabetes. In the asthma study, oral TC-6987 met protocol-defined success criteria (one-sided p < 0.1) on both co-primary outcome measures, change from baseline in forced expiratory volume for adjunct TC-6987 compared to adjunct placebo measured at two time points on day 28 (51ml and 58ml).

However, in the type 2 diabetes study, the primary outcome measure, change in fasting plasma glucose, was not met, and Targacept will not pursue further development of TC-6987 in this indication. TC-6987 is a modulator of the alpha7 neuronal nicotinic receptor (NNR) discovered by Targacept scientists using Pentad, the company’s proprietary drug discovery platform.