Danish pharmaceutical company Lundbeck is close to completing development of Gaboxadol, a drug for the treatment of sleep disorder. The American Psychiatric Association (APA) has published abstracts from phase III studies of Gaboxadol on the internet, and Martin Parkhøj, pharmaceutical analyst at Danske Equities says they show that Lundbeck has a product which is ready for registration.
Claus Bræstrup, president and CEO of Lundbeck comments: "We have seen that three abstracts are on the internet, but they do not represent all data." The full conclusion from the phase III study will be presented at a conference in May, and Lundbeck plans, together with its partner Merck, to file a registration application in the US in the same month. Gaboxadol reportedly improves deep sleep without suppressing rapid eye movement (REM) sleep.
At the end of 2006, investment bank Morgan Stanley estimated Gaboxadol to have a USD 1 bn sales potential in the US. Following news of the published clinical data on Wednesday, Lundbeck's share price jumped 7.7% on the Copenhagen bourse to 160.5.
Lundbeck is an international pharmaceutical company engaged in R&D, production, marketing and sales of drugs for the treatment of psychiatric and neurological disorders. In 2006, the company generated revenues of DKK 9.2 billion (USD 1.6 bn). Lundbeck is headquartered in Copenhagen and employs approx 5,300 people globally. The news was reported by financial daily newspaper Børsen.