Analyst Confident In NewAmsterdam Pharma's Cholesterol Drug Despite Mixed Reactions To Study Results (CORRECTED)

Editor’s Note: This article has been corrected to accurately refer to the drug name as obicetrapib in reference to the discontinuation rate.

On Monday, NewAmsterdam Pharma Company N.V. (NASDAQ:NAMS) released topline data from the Phase 3 BROOKLYN clinical trial, the first of four studies to evaluate obicetrapib in heterozygous familial hypercholesterolemia (HeFH) patients, whose LDL-C is not adequately controlled, despite being on maximally tolerated lipid-lowering therapy.

The BROOKLYN trial met its primary endpoint, achieving an LS mean reduction of 36.3% (p < 0.0001) compared to placebo at day 84, which was sustained at day 365 with an LS mean LDL-C reduction of 41.5% (p < 0.0001).

Related: Cholesterol Player NewAmsterdam Pharma’s Obicetrapib Is A Potential Blockbuster In Cardiovascular Market: Bullish Analyst Says.

The observed reductions in other biomarkers, including high-density lipoprotein cholesterol (HDL-C), non-HDL-C, lipoprotein(a) (Lp(a)), and apolipoprotein B (ApoB), met statistical significance.

In the trial, obicetrapib was observed to be well-tolerated, with safety results comparable to placebo and no increase in blood pressure.

The treatment discontinuation rate for the obicetrapib arm was 7.6% versus 14.4% for the placebo.

Despite the trial hitting its primary endpoint, the company’s stock experienced volatility, closing 8.35% lower at $17.29 on Monday.

William Blair notes that investors debate the read-through of BROOKLYN to the ongoing BROADWAY and PREVAIL trials.

The analyst highlights that though the LDL reductions came in a little below expectations, William Blair is still confident in obicetrapib’s ability to drive a 20% relative risk reduction (RRR) in outcomes in the PREVAIL study (roughly a 34% LDL reduction needed to reach 20% RRR).

The analyst reiterates the Outperform rating.

It is not unexpected to see LDL-C increase over time in HeFH patients, but the analyst expects less change over longer follow-up in BROADWAY and PREVAIL studies.

William Blair also states that the safety of obicetrapib looked strong, but highlights that this study’s small size makes it more cautious to over-interpret secondary endpoints like cardiovascular events.

Price Action: NAMS stock is down 1.97% at $16.91 at last check Tuesday.

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