Shares of BridgeBio Pharma, Inc. (BBIO) were declining in the current market today on December 27, 2021. BBIO stock price saw a downtrend of 66.42% to drop at $13.64 a share at the time of this writing. The stock was green in the previous trade and went up by 5.84% at closing. Let’s dig in to understand the reason behind this decline.
What’s Happening?
BBIO stock became bearish after the announcement of the Month 12 topline results from the Phase 3 ATTRibute-CM Study. In this study, the company is evaluating acoramidis to treat symptomatic transthyretin (TTR) amyloid cardiomyopathy (ATTR-CM). The results were disappointing as the ATTRibute-CM Study did not meet the primary endpoint at Month 12. The mean observed decline in 6-minute walk distance(6MWD) was 9 meters in the subjects that received the acoramidis. The 6MWD for the placebo with baseline eGFR ≥ 30 mL/min/1.73m2 was 7 meters. These declines are the same as the functional decline in healthy elderly adults. However, these declines are less than previous untreated ATTR-CM cohorts. Investors did not like the results which led to a decrease in the per-share price of the BBIO stock.
The independent data monitoring committee observing the ATTRibute-CM study has recommended the continuation of the study based on unblinded data reviews. Both committee and BridgeBio Pharma are optimistic that the acoramidis has the potential to show benefit on the Month 30 endpoint.
Inducement Grants of BBIO stock
On December 27, 2021, BridgeBio Pharma announced the inducement grants for its nine new employees. The company granted restricted stock units for an aggregate of 12,073 shares of the common BBIO stock. The awards were granted under the 2019 Inducement Equity Plan of BridgeBio. The compensation committee of the board of directors of the company announced these grants.
Strategic Collaboration with Helsinn Group
In the previous month, BridgeBio announced the strategic collaboration with Helsinn Group in order to develop and commercialize together a first-in-class inhibitor designed to target glutathione peroxidase 4. The main purpose is to provide a new therapy for those patients who are difficult to treat tumors.
Financial View of the BBIO stock
In the third quarter of 2021, the company generated $2,344 thousand in revenue as compared to $8,127 in the same period of the previous year. Operating expenses reached $151.8, representing an increase of $23.7 million from the same quarter of last year. The company ended the quarter with $599.6 million in cash, cash equivalents, and marketable securities.
