As Expected: Merck Drops Gaboxadol, Its Not-Very-Good Sleep Drug

Friedman Billings Ramsey in a note to analysts today (see download below) says Merck has dropped its fledgling sleep compound, the difficult-to-type gaboxadol. "The companies cited a high incidence of psychiatric side effects and noted a lack of efficacy in a recent study," the note says.

Let me adopt my best Stephen Colbert voice: I called it! regular readers of BrandweekNRX will note that back on March 8 I tagged this compound as a loser. Read that post here.

Interestingly, FBR is not changing its outlook on Sepracor's Lunesta as a result. The category is still crowded and Sanofi's Ambien still slays newcomer brands. Thus the only remaining question is, will Lilly persist in its seemingly suicidal mission to get into this business?

Download fbr_sepracor.pdf

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