08:57 AM EDT, 07/02/2024 (MT Newswires) -- (Updates with latest stock move in the headline and last paragraph.)

Ardelyx ( ARDX ) said on Tuesday it decided against seeking to include its phosphate absorption inhibitor, Xphozah, in the Centers for Medicare & Medicaid Services's transitional drug add-on payment adjustment.

The company said it took the decision to preserve patient access as CMS policy is likely to cause significant restrictions on the use of the drug.

Xphozah was approved by the U.S. Food and Drug Administration last year to reduce serum phosphorus in adults with chronic kidney disease on dialysis as an add-on therapy.

Shares of the biopharmaceutical company fell nearly 17% in Tuesday's premarket activity.

Price: 6.32, Change: -1.25, Percent Change: -16.51