Nektar Therapeutics' Eczema Drug Shows Promise in Phase 2b Trial, Boosting Investor Confidence

Nektar Therapeutics has reported positive results from a phase 2b clinical trial for its atopic dermatitis drug candidate, rezpegaldesleukin (rezpeg), leading to a significant surge in the company's stock price. The trial's success marks a turning point for Nektar, which has faced several setbacks in recent years.

Trial Results and Market Response

The phase 2b trial, involving 393 patients with moderate to severe atopic dermatitis, demonstrated that rezpeg achieved its primary endpoint. After 16 weeks of treatment, patients receiving the highest dose of rezpeg showed a 61% improvement in symptoms, compared to a 31% improvement in the placebo group. The two lower doses also performed significantly better than placebo.

Key findings from the trial include:

• Up to 46% of patients taking rezpeg achieved at least a 75% improvement on the EASI score (EASI-75).
• The highest dose group showed a 25% EASI-90 response rate.
• Rapid onset of response was observed for all three endpoints, particularly for EASI-75 and itch reduction.

Following the announcement, Nektar's stock price soared by 119% to $20.90 in premarket trading, reflecting renewed investor confidence in the company's pipeline.

Mechanism of Action and Market Positioning

Rezpeg, an IL-pathway agonist and regulatory T-cell (Treg) proliferator, represents a novel approach to treating atopic dermatitis. Unlike most current treatments that block immune activation, rezpeg aims to stimulate Treg cells to rebalance the immune system and provide lasting relief from symptoms.

Nektar's CEO, Howard Robin, emphasized the drug's rapid onset of action as a key differentiator from other immune-modulation approaches, such as OX40 pathway inhibitors. However, the competitive landscape remains challenging, with Regeneron and Sanofi's Dupixent setting a high bar for efficacy in the atopic dermatitis market.

Future Plans and Industry Implications

With these positive results, Nektar is now preparing for phase 3 trials. Jonathan Zalevsky, Ph.D., Chief Research and Development Officer at Nektar, expressed confidence in the company's ability to design an effective phase 3 regimen based on the comprehensive data gathered from the phase 2b study.

The success of rezpeg is particularly significant for Nektar, which has faced difficulties in recent years, including the collapse of a major oncology collaboration with Bristol Myers Squibb and the exit of Eli Lilly from a partnership on rezpeg following a clinical setback. Nektar had previously accused Lilly of a flawed analysis that understated the drug candidate's effect.

As Nektar moves forward with the development of rezpeg, the pharmaceutical industry will be watching closely to see if this novel approach to immune modulation can challenge established treatments and provide new options for patients with atopic dermatitis and potentially other autoimmune and inflammatory diseases.