- Clinical stage biotech company Hexima (HXL) has decided not to proceed with developing its lead product candidate, pezadeftide, to treat onychomycosis
- The decision comes after weak clinical data was reported for the drug’s phase two clinical trial which aimed to treat onychomycosis, a fungal nail infection
- HXL won’t make any further significant investments into the product and has started wrapping up operational activities
- Shares have fallen 46.2 per cent on the back of this news to trade at 1.4 cents each at midday AEST
Hexima’s (HXL) shares plummeted as the company plans to wind down activities for its leading product candidate, pezadeftide.
The decision came after weak clinical data was reported for the drug’s phase two clinical trial.
The trial saw 103 patients participate in the study, which aimed to treat onychomycosis, a fungal nail infection that causes discolouration, thickening, and separation from the nail bed.
No patients saw a complete cure and only a handful recorded improvements.
The company said it “does not believe the data supports the company’s goal of developing a safe, more effective and convenient topical therapy with a shorter course of treatment.”
HXL will make no further significant investments into the product and has initiated the process of wrapping up operational activities.
It has begun exploring strategic options to secure value for its intellectual property and residual cash resources.
At the end of June, the company had $4 million in cash and expects to receive $5.6 million from the government’s R&D Tax Incentive scheme.
Shares dropped 46.2 per cent to 1.4 cents each at midday trade AEST.