HQ Team
June 27, 2024: Novo Nordisk’s end-stage trial for hypertension drug has failed to meet its primary goal and the Danish multinational has recognised an impairment loss of 5.7 Danish crowns or $817 million in the second quarter of this year.
The phase III trial of ocedurenone in patients with uncontrolled hypertension and advanced chronic kidney disease was conducted by KBP Biosciences PTE., Ltd.
The Bagsværd-headquartered company, which acquired KBP in 2023, stated that based on an independent data monitoring committee the trial did not meet its primary endpoint of change in systolic blood pressure from baseline to the 12th week.
“As a result, Novo Nordisk has decided to stop” the trial. “This corresponds to an estimated negative impact of around 6 percentage points on operating profit growth,” compared to the January-March outlook.
600 patients
According to generally accepted accounting principles, assets are considered to be impaired when their fair value falls below their book value. Any write-off due to an impairment loss can have adverse effects on a company’s balance sheet and its resulting financial ratios.
The trial was conducted on more than 600 patients at more than 150 sites.
Novo Nordisk is the largest pharmaceutical company in Denmark. Novo Nordisk’s market capitalisation exceeded the gross domestic product of Denmark’s domestic economy in 2023, and it is the highest-valued company in Europe.
