Shares of Arecor Therapeutics PLC (AIM:AREC) surged 11% in early trading following impressive phase I trial results for its ultra-concentrated, ultra-rapid-acting insulin, AT278.
The study, focusing on overweight and obese individuals with Type 2 diabetes, showed AT278's superior absorption and glucose-lowering effects compared to NovoRapid and Humulin R U-500.
The new insulin formulation, concentrated at 500 units per millilitre (U/mL), allows for lower injection volumes, providing better mealtime glucose control for patients requiring high daily insulin doses. This outcome aligns with previous findings in Type 1 diabetes patients, indicating effectiveness regardless of diabetes type or body mass index (BMI).
According to Panmure Gordon, the results represented the "most positive outcome possible from this trial, giving Arecor multiple options to generate value".
The boutique investment bank raised its price target to 524p a share from 481p. In early deals, the stock was changing hands for 145p, up 14p.
Earlier Arecor's CEO, Sarah Howell, emphasised AT278's potential to become the first ultra-concentrated, ultra-rapid insulin available.
This innovation could lead to the development of next-generation, miniaturised insulin pumps.
In a statement, Howell said: "This is a significant step in AT278's development and extends our confidence in its clear potential to provide a superior insulin treatment option that lowers burden and improves outcomes for people living with diabetes who require high daily doses of insulin."