Weight loss drug contender Zealand Pharma jumps 18% on trial results [Video]

LONDON — Shares of Denmark’s Zealand Pharma popped on Friday, notching a record high after an early-stage study of its weight loss drug challenger produced positive results.

Gains had cooled to around 18% by the close, after surpassing more than a 23% gain during morning trade.

The company said Thursday that a course of 16 weekly high doses of long-acting amylin analog petrelintide reduced body weight by up to 8.6% on average in the study. A placebo drug led to a body weight decrease of 1.7%.

One out of 48 study participants withdrew due to negative effects.

Petrelintide was “judged to be safe and well tolerated at all dose levels,” and the results provided “robust support” for its potential as an alternative to GLP-1 receptor agonist-based therapies for weight management, Zealand Pharma said in a release.

GLP-1RA-based treatments include Ozempic, the diabetes drug produced by fellow Danish pharmaceutical firm Novo Nordisk, which has exploded in popularityglobally for …