Renovo (LON:RNVO) told investors that it has decided to cease further development of its Adaprev product.
It reported its safety trial reports today. The patients were assessed 26 weeks after receiving surgery to repair flexor tendons in the hand. Adaprev was designed to prevent and reduce scarring after tendon surgery.
The group said that safety measures of the Adaprev treated patients were similar to the patients in the standard care groups.
Analysis of performance measures showed that patients treated with Adaprev had less range of motion than those in the standard care group.
Renovo said that the active range of motion was lower by an estimated 16.8 per cent in the Adaprev group than in the Standard Care group. The results had considerable variability, it added.
“This first clinical trial of Adaprev showed that it was safe and well tolerated but did not produce encouraging preliminary performance data,” Renovo said.
“Accordingly the Board of Renovo have decided that no further development of, or expenditure on, Adaprev will occur.”
These results follow what the company describe as ‘surprising and disappointing’ results from a clinical trial for what was its lead product.
In February Renovo revealed that it scar treatment, Juvista, failed to meet any of the clinical endpoints.
Renovo’s focus since then has been on cash preservation. Subsequently Renovo has scaled back its operation. It has closed it labs and it contracted drug development work has continued on an outsourced basis.
The firm has one more clinical trial that is still underway. A fully recruited proof of concept clinical trial for its Prevascar drug is expected to report data in the first half of next year.
This morning Renovo also revealed its financial results for the twelve months ended September 30.
At the end of the period the group had a net cash position including cash equivalents and investments of £36.4 million.
"Following the surprising and disappointing results during the year, the Group has been completely reorganised and is looking to maximise shareholder value,” said chairman Professor Mark Ferguson.
“The Group's focus remains on minimising cash outflow and limiting expenditure to the ongoing trial of Prevascar and other value realisation programmes only.
“The Board is considering all options to maximise value including acquisitions and mergers of external companies.”