Reata Shares Down 33%; Reports 2Q and Details of FDA Meeting

By Josh Beckerman

Reata Pharmaceuticals shares fell 33% to $24.01 in afternoon trading after it reported second-quarter results and provided updates on drug programs.

Reata discussed a mid-cycle communication meeting with the U.S. Food and Drug Administration about omaveloxolone for treatment of Friedreich's ataxia.

"While we have not received formal minutes from the FDA," the agency "stated that it has not identified any new significant issues, but it continues to have concerns regarding the strength of the efficacy evidence." The FDA didn't identify any significant clinical safety issues, the company said.

Reata described various additional data and analyses it submitted to the FDA, including results from a March 2022 data cutoff.

Reata's second-quarter collaboration revenue was $762,000, down from $2.2 million a year earlier. Net loss was $2.02 a share, compared with a loss of $2 a share a year earlier.

The company reaffirmed that its existing cash, cash equivalents and marketable debt securities will be sufficient for funding operations through the end of 2024.

Write to Josh Beckerman at josh.beckerman@wsj.com

(END) Dow Jones Newswires

August 08, 2022 16:17 ET (20:17 GMT)

Reata Pharmaceuticals (NASDAQ:RETA)
Historical Stock Chart
From Jun 2024 to Jul 2024