Vanda pauses social anxiety program after Phase 3 trial misses endpoint in women

Vanda Pharmaceuticals announced Wednesday that it is halting development of its social anxiety disorder candidate after a late-stage trial did not achieve its primary goal.

The experimental drug, VQW-765, was tested in a Phase 3 study enrolling female patients. The trial failed to meet the predefined primary endpoint, meaning the drug did not demonstrate the expected benefit.

As a result, Vanda said the program is being placed on hold while the company reviews the data and considers next steps for its pipeline.

The setback underscores the challenges of bringing new treatments for social anxiety to market and may affect investor sentiment toward the biotech.