PepGen's Duchenne Candidate Has Potential For Greater Exon Skipping Capabilities At Lower Doses Versus Sarepta's Candidate, Says Analyst

PepGen's Duchenne Candidate Has Potential For Greater Exon Skipping Capabilities At Lower Doses Versus Sarepta's Candidate, Says Analyst
  • PepGen Inc PEPG reported data from PGN-EDO51's SAD study in adult healthy volunteers that suggest best-in-class exon skipping capabilities.
  • SVB notes that PGN-EDO51's safety profile was generally well-tolerated. However, the 15mg/kg dose saw mild hypomagnesemia and an SAE of transient kidney biomarker changes, both events commonly linked to the peptide conjugates that aid oligo delivery.
  • It reiterates its Outperform rating with a price target of $6.
  • On the other hand, the analyst views the muscle concentration and exon skipping data from bicep muscle biopsies as highly encouraging and supportive of PGN-EDO51's best-in-class potential.
  • SVB says the mean exon skipping observed at 10mg/kg and 15mg/kg easily clears the bar set by Sarepta Therapeutics Inc SRPT SRP-5051 healthy volunteers' exon skipping data of <0.2% at a higher 20mg/kg dose. 
  • SRP-5051 easily beats the low bar set by Exondys 51, with mean exon skipping of ~11% and mean dystrophin expression of ~6.5% seen at the 30mg/kg dose in the Phase 2 MOMENTUM Part A results. 
  • Sarepta's results suggest that SRP-5051 drove approx. 13x greater exon skipping in patients vs. what was seen in healthy volunteers.
  • Applying the same with PGN-EDO51, 10mg/kg could achieve ~18% exon skipping, and 15mg/kg could achieve ~26% exon skipping, using a rough analysis. 
  • This would suggest that the 10-15mg/kg doses of PGN-EDO51 have the potential for enhanced exon skipping and dystrophin production capabilities relative to the 30mg/kg dose of SRP-5051.
  • Price Action: PEPG shares are up 77.40% at $9.23 on the last check Wednesday.

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