Soleno Therapeutics (NASDAQ: SLNO) received positive news regarding its New Drug Application (NDA) for diazoxide choline (DCCR) tablets, sending its stock soaring. The FDA review division has initially determined that an advisory committee meeting is not necessary for the application, which seeks approval for DCCR in treating Prader-Willi Syndrome, a genetic disorder.
FDA's Review Process
While the FDA's decision is a positive signal, the agency clarified that it would continue to assess the need for an advisory committee meeting as the review progresses. The target action date for DCCR is December 27, reflecting the priority review designation granted to the drug. DCCR also holds breakthrough therapy designation, potentially expediting the approval process.
DCCR's Potential Impact
Prader-Willi Syndrome is a rare genetic disorder characterized by hyperphagia, intellectual disability, short stature, and behavioral problems. Currently, there are limited treatment options available to address the underlying causes of the syndrome, highlighting the unmet medical need. DCCR represents a potential new therapeutic avenue for managing the condition.
Market Reaction and Future Outlook
The market responded favorably to the news, with Soleno Therapeutics' stock price increasing by over 9%. While FDA approval is not guaranteed, the absence of an advisory committee meeting at this stage, combined with priority review and breakthrough therapy designations, suggests a promising outlook for DCCR's approval prospects.
