By Ben Glickman
Adial Pharmaceuticals, a biopharmaceutical company based in Charlottesville, Virginia, experienced a significant surge in its stock prices on Tuesday following the revision of its clinical development plan for its alcohol use disorder treatment. The company received valuable feedback from both U.S. and European regulators, which prompted the adjustment.
As of 10:29 a.m. ET, Adial Pharmaceutical’s stock saw a remarkable 86% increase to reach 38 cents per share. This surge marks the highest percentage increase since September 2020. The stock has experienced a 75% increase so far this year.
In response to regulators’ feedback, Adial Pharmaceuticals announced its intention to conduct two additional Phase 3 trials for its AD04 treatment for alcohol use disorder (ADU). The company stated that the U.S. Food and Drug Administration (FDA) requested additional data on AD04, and these extra trials are estimated to cost approximately $25 million.
According to Adial Pharmaceuticals, its updated plan will lead to the registration of AD04 with the FDA in the third quarter of 2025.