Vera Therapeutics stock drops amid rival drug update
Investing.com -- Shares of Vera Therapeutics Inc. (NASDAQ: VERA) tumbled by 17% as the market responded to updates on a competing drug that could challenge the company's position in the IgAN market. The decline was attributed to new information released by Otsuka regarding its drug sibeprelimab, which is anticipated to be a direct competitor to Vera's atacicept.
Analyst Liisa Bayko of Evercore ISI highlighted the significance of the update from Otsuka, noting that sibeprelimab is expected to enter the market before Vera's atacicept. Bayko's analysis suggests that the delivery method of sibeprelimab as a once monthly self-administered prefilled syringe could be seen as an advantage over Vera's atacicept, which is planned to be offered as a weekly autoinjector. The analyst stated, "Recall, sibeprenlimab is expected to be the key competitor to Vera’s atacicept in the IgAN market, likely arriving on the scene a few months ahead of atacicept."
The timing of the regulatory filing and approval for sibeprelimab was also a focus, with expectations set for a filing in the first half of 2025 and potential approval in the second half of the same year. Full approval data is anticipated in the first half of 2026. Otsuka has outlined an aggressive lifecycle management strategy for sibeprelimab, initially targeting Sjogren’s syndrome.
Investors are closely watching the developments as both companies are expected to release data in the near future, with sibeprenlimab's data projected to be announced around June at the ERA conference and atacicept's Phase 3 results expected later in the month or early July.
The market's reaction reflects concerns over Vera's ability to compete effectively in the IgAN market, especially with a rival drug potentially reaching the market sooner and with a potentially more convenient administration method. As the companies prepare to release more data, investors will be looking for indications of how these treatments compare and what this might mean for Vera's market prospects.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.