Shares of Acadia Pharmaceuticals Inc. were still down 30.5% in premarket trading on Tuesday, days after a Food and Drug Administration advisory committee voted against approval of the company’s treatment for hallucinations and delusions associated with Alzheimer’s disease psychosis. The committee on Friday voted 9-3 that the benefits of pimavanserin do not outweigh the risks. The FDA, which is not required to follow the advice of the committee but often does, is expected to decide whether to approve the therapy by Aug. 4. “It’s unlikely that the FDA will grant approval to Acadia’s [supplemental new drug application] for ADP, and the agency will likely reiterate its original request for another study,” Mizuho Securities analyst Vamil Divan told investors on Friday. The therapy is already approved as a treatment for hallucinations and delusions associated with Parkinson’s disease psychosis. Acadia’s stock is down 16.4% this year, while the S&P 500 has declined 22.9%.
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