Shares in Sanofi-Aventis, the recently-merged pharmaceuticals company, gained ground today, as the market welcomed positive results from its anti-obesity drug Rimonabant.
Sanofi-Aventis shares gained €0.40 at €59, while the CAC-40 index was flat changed at 3,650.23 points.
Obese patients on the highest dose of the drug, Rimonabant, lost an average of 8.6kg over a year and reduced their waists by 8.5cm in the largest trial of the drug so far.
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The drug also tackles smoking, which together with obesity is the largest cause of heart disease. Rimonabant was been shown to cause a “significant decrease” in the number of patients experiencing risks that increase their chances of heart disease, according to results from a new study funded by the company.
Sanofi said yesterday that it hopes to be able to start selling Rimonabant - under the brand name Acomplia - by early 2006 after successful initial results from a phase III clinical trial, the final stage before a drug can be submitted for approval to be released on the market.
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“This is very good news for Sanofi-Aventis and the drug has the potential to become a blockbuster and contribute to higher sales,” said Ronald PetitJean of Sarrazin Expertise.
Sanofi has already indicated it believes the treatment to become a “very large blockbuster”, with analysts estimating potential annual sales from the drug could reach €3 billion - €5 billion (£2bn-£3.4bn).
Development of the drug was spurred by the exploration of the hunger-causing effects of cannabis, which enabled scientists to identify receptors in the brain that control appetite.
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Sanofi reports first-half results tomorrow and is expected to show double-digit growth in profits. However, the company is under pressure to demonstrate a strong pipeline of drugs in development as some of its existing treatments are facing patent challenges.