Cara Therapeutics stocks fell 40 percent after the company announced its non-opioid pain management drug, oral CR845, failed to significantly reduce pain in osteoarthritis patients, National Pain Report reports.
Here's what you should know:
1. Cara's stock was trading at $25.51 at market close on June 29.
2. Cara released its phase two clinical trial results after market close on June 29.
3. Shares plummeted to $18.30 when trading opened June 30. The stock continued to decrease, and as of noon on July 5, it was trading at $15.05.
4. Cara conducted a trial testing 1 mg, 2.5 mg and 5 mg CR945 doses. Neither the 1 mg nor 2.5 mg doses significantly reduced pain. The 5 mg dose reduced pain for hip osteoarthritis patients, but not for the combined knee and hip patients.
5. CR845 targets nerve endings instead of opioid receptors.
6. Cara's CMO Joseph Stauffer, DO, said in a release, "We believe that the present trial of oral CR845 has highlighted the potential of a peripherally acting kappa agonist to provide clinical benefit in a chronic pain population and we’re pleased that statistical significance was achieved for the 5.0 mg dose in patients with OA of the hip."