Raptor Pharmaceutical Shares Crater 33% On News Of Disappointing Drug Trial

Raptor Pharamceutical Corp. shares cratered 33% in premarket trading Monday, after the company reported disappointing results from a trial of a treatment for non-alcoholic fatty-liver disease in children. The Novato, Calif.-based company said topline results from a Phase 2 study of RP103, or cysteamine bitartrate delayed-release capsules, failed to meet its primary endpoint. "We're disappointed with this outcome given the paucity of treatment for these children," Chief Executive Julie Anne Smith said in a statement. The company will work with The National Institute of Diabetes and Digestive and Kidney Diseases to fully understand the data, but does not expect to advance the program, she said. Shares have gained 14.4% in the year through Friday, while the S&P 500 has lost 4.8%.