Transkaryotic Kidney Drug Fails in Test

Transkaryotic Therapies Inc. said a study showed its Replagal medicine doesn’t improve kidney function in patients with a rare metabolic condition. Transkaryotic shares tumbled as much as 41%.

The biotechnology company’s test found no difference between Replagal and a placebo in patients with the hereditary disorder called Fabry disease. The condition, which destroys major organs and causes severe pain, affects about 5,000 people worldwide.

The findings are a second setback in Transkaryotic’s race against Genzyme Corp. to win the first U.S. approval for a Fabry drug. Transkaryotic shares tumbled 62% on Oct. 3, when regulators said a test of Replagal’s effects on pain wasn’t enough to merit clearance.

Transkaryotic shares fell $4.66 to $9.60 on Nasdaq after falling to a record low of $8.41.