U.S. setback for Zafgen's diabetes therapy

Zafgen Inc. (NASDAQ:ZFGN) shares fell $3.69 (41%) to $5.41 Nov. 26 after it disclosed that FDA placed a clinical hold on an IND for ZGN-1061 to treat Type II diabetes.

Zafgen said the agency cited a CV safety risk for the second-generation methionine aminopeptidase 2 (MetAP2) inhibitor based on a prior Zafgen compound. In 2015, treatment with the company's beloranib, a first-generation MetAP2 inhibitor, led to two deaths with concurrent thrombotic events in a Phase III trial (see "Risk-Benefit Litmus Test")...