Sagimet Biosciences Surges Forward With Successful Acne Clinical Data and Capital Raise

Sagimet Biosciences Inc. (NASDAQ:SGMT) reported 52-week data from a Phase 3 trial evaluating denifanstat for moderate to severe acne vulgaris. In January, the company shared topline data from the study. Concurrently, the clinical-stage biopharmaceutical firm priced an underwritten public offering expected to yield $115 million in gross proceeds. Read Also: Why Is Sagimet Biosciences Stock Trading Higher On Monday? Long-Term Efficacy In Acne Treatment Partner company Ascletis BioScience Co. Ltd. presented the clinical findings at the European Academy of Dermatology and Venereology Congress. Ascletis maintains exclusive rights to the once-daily oral fatty acid synthase inhibitor in China, while Sagimet retains development rights for the rest of the world. The open-label extension trial tracked 240 participants who transitioned from an initial 12-week study. Researchers evaluated long-term safety and efficacy over a 52-week duration. Denifanstat demonstrated significant clinical efficacy. Investigators defined treatment success as at least a two-point reduction in the Investigator’s Global Assessment score, resulting in a clear or almost clear complexion. By the trial’s conclusion, the overall treatment success rate hit 56.7%. Furthermore, patients experienced a 76.9% average decrease in inflammatory lesions, a 66.9% reduction in non-inflammatory lesions, and a 71.8% drop in total lesions. Favorable Safety Profile And Public Offering Participants tolerated the medication well throughout the year-long evaluation. No drug-related serious adverse events or permanent trial discontinuations linked to the drug were observed. In a separate corporate update, Sagimet priced a stock offering of 8.75 million shares at $10.00 each. Alternatively, select investors can purchase pre-funded warrants for 2,750,010 shares at $9.9999 per warrant. Sagimet anticipates raising gross proceeds of roughly $115 million. Sagimet intends to use the proceeds to fund a Phase 3 trial for denifanstat in acne, pre-launch activities for denifanstat, TVB-3567 through Phase 2 topline results, advancement of its topical formulation FASN inhibitor program to IND submission, and for general corporate purposes. SGMT Price Action: Sagimet Biosciences shares were up 8.57% at $10.13 at the time of publication on Wednesday, according to Benzinga Pro data. Read Also: 'Bitcoin Senator' Lummis Says 'Democrats Hate Trump More Than They Like Good Policy' Photo Courtesy: Shutterstock.com