Jasper Therapeutics (NASDAQ:JSPR) saw its shares plummet over 43% in premarket trading on Monday after the biotech firm disclosed manufacturing problems linked to one of its drug product lots, casting uncertainty over key clinical programs.
The company revealed that certain dosing groups in its ongoing chronic spontaneous urticaria trial involving the investigational antibody briquilimab may have been compromised by the faulty batch. The affected cohorts include the 240mg every-8-weeks regimen and the 240mg initial dose followed by 180mg every 8 weeks.
Jasper has launched an internal investigation to determine the full scope and impact of the issue, with results expected to emerge in the coming weeks.
The same compromised drug lot has also prompted the company to terminate its ETESIAN trial targeting asthma, halting further patient enrollment and dosing.
In light of these setbacks, Jasper announced plans to reduce operational costs to conserve capital while it works through the manufacturing challenges. The company did not disclose specific details of its cost-cutting strategy but emphasized its commitment to maintaining long-term program viability.
The sharp sell-off highlights growing investor concern over the reliability of Jasper’s production processes and the potential delays to its clinical development timelines.