Contineum’s multiple sclerosis drug fails phase 2 test, raising doubts on its potential

Contineum Therapeutics’ MS drug PIPE-307, developed with Johnson & Johnson, failed to meet primary or secondary goals in a phase 2 trial focused on improving vision in patients with relapsing-remitting multiple sclerosis (RRMS).

Why it matters: The failure casts doubt on PIPE-307’s future in MS and potentially in other indications, despite a $50M deal with J&J and up to $1B in milestones. Contineum’s stock dropped 12% post-announcement.

Backstory: PIPE-307 is an M1 receptor antagonist under development for RRMS and major depressive disorder (MDD). Researchers believe that blocking the M1 protein may help repair nerve coatings damaged by MS. Contineum was founded in 2017, raised $110M in its 2024 IPO, and has struggled to maintain its stock price since.

Zoom in: The trial tested PIPE-307 impact on vision—specifically low contrast letter acuity—in 182 RRMS patients. The drug was found safe, but showed no significant efficacy. PIPE-307 may still have promise for treating major depression, but results are pending.

Big picture: PIPE-307's failure in MS may not directly affect its MDD trial, but investor confidence is shaken. Contineum is now prioritizing its lung disease asset PIPE-791, targeting idiopathic pulmonary fibrosis (IPF), where it aims to challenge Bristol Myers Squibb. The company also halted PIPE-791 trials in progressive MS and CTX-343 in peripheral fibrosis.

What’s next: Full study data will be shared at an upcoming medical meeting and in a peer-reviewed journal.