Biopharmaceutical company RedHill Biopharma Ltd (Nasdaq: RDHL) on Monday announced positive outcomes from in vivo studies of its investigational drug, opaganib, demonstrating significant potential in treating obesity and Type 2 diabetes.

Conducted by RedHill's partner, Apogee Biotechnology Corporation, the studies revealed that opaganib effectively reduced weight gain and improved glucose tolerance in a high-fat diet model, supporting its clinical potential for obesity-related disorders.

Opaganib, an orally administered sphingosine kinase-2 (SPHK2) inhibitor, has shown broad therapeutic potential across multiple indications, including oncology, viral infections and metabolic diseases. The drug targets key pathways involved in obesity and diabetes, providing a strong rationale for its development in these areas.

As the global obesity-diabetes drugs market is projected to reach USD100bn by 2034, largely driven by GLP-1 and SGLT2 inhibitors, opaganib's unique mechanism of action could position it as a competitive player in this expanding market. RedHill continues to advance opaganib through various clinical trials, including those funded by US government collaborations for acute radiation syndrome and other conditions.

RedHill Biopharma is focused on gastrointestinal and infectious diseases. Itis advancing its portfolio of late-stage clinical programs, with opaganib being a key asset in its development pipeline.