Irvine-based Ista Pharmaceuticals Inc. on Friday said its ecabet sodium dry eye treatment was effective in a mid-stage trial and announced plans for a new test.
The news sent Ista’s shares up as much as 10% in early trading before they flattened near the close.
Ista said the trial showed that dry-eye patients who used ecabet sodium produced more tears, showed improvement in their blink rate and recorded a better score on a questionnaire.
The Food and Drug Administration requires prescription dry eye treatments to improve at least one sign of the disorder and one symptom, according to Ista.
Analyst Megan Murphy of Lazard Capital Markets reiterated a hold rating on Ista’s stock and predicted that ecabet sodium will be launched in 2010.
