Adverse Safety DataSafety data for REC-4881 shows a moderate rate of grade 3+ treatment-related adverse events and a somewhat high frequency of treatment discontinuation, dampening the upside.
Cash Burn ConcernsShares closed -16.6% on cash burn guidance and implied dilution risk.
Program DeprioritizationThe discontinuation of the NF2, CCM, and C. difficile programs reflects a cut in the most advanced assets in the portfolio.