XOMA is down over 30% this morning after the company announced their diabetes drug failed to lower blood sugar. The company said that a random group of people with Type 2 diabetes from a pool of over 400 were treated with their diabetes drug over the course of six months. At the end of the trial, the people who received the drug showed no reduction in blood sugar levels than those taking placebos.

XOMA did note however that the trial showed significant declines in C-reactive protein, which is a sign for risk of heart attack, stroke, and other cardiovascular diseases. The company also stated, “The safety and tolerability profile in this population was consistent with previous XOMA 052 clinical trials, and there were no serious drug-related adverse events.” XOMA also said they expect to take the drug into clinical development for cardiovascular diseases next year.

The stock is currently trading down $1.48 at $3.54 and has traded nearly 4 million shares already today.

About XOMA

XOMA is at the forefront of antibody discovery and development, one of the most powerful and transformative fields of drug innovation today. Building on a pioneering proprietary pipeline, a world-class antibody discovery and development platform, plus multiple revenue streams, XOMA is creating innovative human antibody therapeutics with the potential to transform medicine and reshape people’s lives.