01:48 PM EDT, 09/13/2024 (MT Newswires) -- Cipher Pharmaceuticals ( CPHRF ) shares were last seen down 16% after the company on Friday said its partner, Moberg Pharma AB, has received an update on an ongoing North American Phase 3 study for MOB-015, a product for the treatment of nail fungus.

Moberg noted that the number of patients who have achieved clinical cure in this blinded subset of patients is lower than its expectations, which necessitated Moberg inform the market about this fact.

Cipher owns the Canadian marketing rights to Moberg's MOB-015, paying an upfront amount of US$500,000 and any future additional payments of up to US$14.1 million, contingent on achieving certain clinical data results as well as development, regulatory and commercial sales milestones.

"The company will continue to collaborate with its partner Moberg as full results from their clinical trial become available, however this pipeline product does not impact the sales and earnings profile of Cipher's existing business today," Cipher noted.

The company's shares were last seen down $2.90 to $15.32 on the Toronto Stock Exchange.

Price: 15.52, Change: -2.70, Percent Change: -14.82