Larimar Therapeutics announced positive data from its nomlabofusp trial for Friedreich’s Ataxia, showing increased FXN levels. Despite this, LRMR stock dropped 11.8%. Four patients withdrew, two due to adverse events that resolved quickly. Analysts remain positive, citing the drug’s potential and lack of CNS side effects in animal studies.
Oppenheimer has initiated coverage on Larimar Therapeutics (LRMR), a clinical-stage biotech company developing treatments for rare diseases, with an Outperform rating and a $26 price target. The analysts believe Larimar’s lead program, Nomlabofusp, could become a significant treatment option for Friedreich’s ataxia (FA), a rare neurodegenerative disease, due to its potential disease-modifying properties. Oppenheimer expects interim data from an open-label extension (OLE) trial in the fourth quarter of 2024 and anticipates a potential FDA marketing application submission in the second half of 2025.
The global market for Friedreich’s Ataxia drugs is projected to experience significant growth, reaching a value of US$ 3.49 billion by 2034. This growth is driven by increased investments in disease-modifying treatments and gene therapy, as well as supportive initiatives from governments and non-profit organizations. The market is expected to be dominated by North America, with a projected market share of 36.7% by 2034.
