aTyr Pharma Shares Plunge After Lung Disease Drug Fails in Late-Stage Trial

aTyr Pharma shares fell more than 80% to a record low after its experimental drug efzofitimod failed to meet the main goal in a late-stage trial for pulmonary sarcoidosis, a chronic lung disease caused by granulomas forming in the lungs and lymph nodes.

Trial Results and Setback

The Phase III study included 268 patients. Those on the higher 5 mg/kg dose of efzofitimod reduced steroid use to 2.79 mg per day from baseline, versus 3.52 mg on placebo, a difference that was not statistically significant. The disappointing results marked a major setback for the company’s lead program.

Next Steps for aTyr

Despite the failure, aTyr highlighted consistent clinical improvements reported by patients on efzofitimod. The company plans to engage with the U.S. Food and Drug Administration to assess the trial outcomes and explore a possible path forward for the drug.