10:56 AM EST, 12/10/2024 (MT Newswires) -- CervoMed ( CRVO ) shares plunged 79% in recent Tuesday trading after the company said a phase 2b trial assessing neflamapimod to treat people with dementia with Lewy bodies failed to meet its primary or key secondary endpoints.

Neflamapimod didn't show "statistically significant effects" compared with placebo on the primary and secondary endpoints at 16 weeks, the company said Tuesday in a statement.

CervoMed ( CRVO ) said "target plasma drug concentrations were not achieved during the double-blind phase of the trial, which may have adversely impacted trial results."

"We continue to believe neflamapimod may have potential as a treatment for DLB, and we will thoroughly analyze the clinical and pharmacokinetic data from the trial to better understand its outcome and potential future development paths for the drug," CervoMed ( CRVO ) Chief Executive Officer John Alam said in the statement.

Price: 2.17, Change: -8.08, Percent Change: -78.83