Ovid Therapeutics Inc. (NASDAQ:OVID) stock jumped 20% following the announcement of encouraging topline results for its next-generation GABA-aminotransferase inhibitor, OV329. The Phase 1 study highlighted strong inhibitory activity and a potential best-in-class safety profile for the therapy.
The trial involved 68 healthy volunteers and demonstrated that OV329 achieved statistically significant inhibition of GABA-AT across several measures. The company stated that OV329 matched or exceeded the inhibition levels seen with therapeutic doses of the first-generation GABA-AT inhibitor, vigabatrin, as measured via transcranial magnetic stimulation.
Results confirmed that OV329 effectively penetrates the brain, engages its target, and achieves the expected biological modulation with elevated GABA levels, the key inhibitory neurotransmitter. The drug’s safety and tolerability appeared favorable compared with marketed anti-seizure medications, with all potentially treatment-related side effects reported as mild and transient.
“The results from this study provide unequivocal evidence that support the advancement of OV329 into further studies in patients with epilepsy,” said Alexander Rotenberg, MD, PhD, Director of Neuromodulation at Boston Children’s Hospital and professor of neurology at Harvard Medical School.
Ovid plans to move OV329 into a Phase 2a study in patients with drug-resistant focal onset seizures in Q2 2026. The company is also progressing its KCC2 direct activator pipeline, with the first oral candidate, OV4071, expected to reach regulatory filing in early 2026.
In a separate announcement, Ovid revealed that it has entered into a securities purchase agreement for private investment in public equity financing, which is expected to generate gross proceeds of up to $175 million, including initial proceeds of approximately $81 million.
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