Sun Pharma Advanced Research Shares Crash 16%; What’s Triggering Investors Jitters?

Shares of Sun Pharma Advanced Research Company Limited crashed nearly 16% after the company announced the failure of the phase 2 trial of its investigational drug SCD-044. The company was working on the development of Vibozilimod, a drug focusing on the treatment of psoriasis and atopic dermatitis.

Sun Pharma Advanced Research Company (SPARC) shares opened at Rs 186 per share and crashed more than 16% on BSE. SPARC shares were trading 16.16% lower at Rs 164 per share on BSE on Wednesday at 10:30 am. Its market capitalisation stood at Rs 5,322.15 crore.

Failure of Drug Trial

Sun Pharmaceutical's research arm announced that the top-line results from the Phase 2 clinical trials evaluating the efficacy of Vibozilimod (SCD-044) medicine didn't provide the desired results.

The under-trial medicine was developed for the treatment of moderate-to-severe Psoraiasis (Solares PsO) and Atopic Dermatitis (Solares AD). The company, in its BSE filing on Wednesday, announced that its trial didn't meet the desired results.
"Sun Pharma Industries Limited (SPIL) informed that both SOLARES PsO and SOLARES AD studies did not meet the primary endpoint of 75% improvement in PASI (Psoriasis Area and Severity Index) score (> PASI75) at Week 16 and 75% improvement in EASI (Eczema Area and Severity Index) score (>EASI75) at Week 16 respectively," read the company exchange filing. SPARC and SPIL both the companies will asses the future course of the clinical trial of the medicine, ie SCD-044.

SPARC Share Price Trend

Sun Pharma Advanced Research Company (SPARC) shares were trading more than 16% lower during the opening trade. The company had touched a 52-week low mark of Rs 109.20 per share on BSE on 3 March, 2025. The company stock touched its 52-week-high mark of Rs 257.70 per share on 5 July 2024. Sun Pharma's research arm's share price value declined nearly 19.28% year to date (YTD).

SPARC Q4 Result

Sun Pharma Advanced Research Company's net consolidated loss declined during the March quarter of the financial year 2024-25. The company's net consolidated loss declined to Rs 5,977 lakh during Q4FY25 from Rs 10,579 lakh reported in the March quarter of the previous financial year. Its total income stood at Rs 2,719 lakh in Q4FY25 against Rs 2,096 crore reported during the same quarter of the previous financial year.

About Sun Pharma Advanced Research Company Limited (SPARC)

The company is a clinical-stage biopharmaceutical company that focuses on developing innovative therapeutics. The company was formed in 2007 after demerger from Sun Pharmaceutical Industries Limited. The company's research and development strategy focuses mainly in the area of oncology and immunology.

The biopharmaceutical research company has its headquarters in the United States, India. Its offices are located in Mumbai, Vadodara and Princeton. Company's Vadodara facility is located in more than 46000 square feet with 42 labs which houses more than 200 scientists.