Arena Pharmaceuticals, Inc. (ARNA), VIVUS, Inc. (VVUS): What To Know About Obesity

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To better help airlines model fuel costs, the Federal Aviation Administration increased the weight of an average American male from 170 pounds to 184 pounds in 2004. It might be time to adjust that once more.

  • A study conducted by Dr. Paul Peppard of the University of Wisconsin-Madison showed that there could be a link between obesity and sleeping disorders. Peppard believes that as many as 5 million people in America could have sleep apnea caused by obesity.
  • The key to understanding obesity may lie in our DNA. A recent study featured in the International Journal of Obesity that evaluated 2,269 children found that children who are more genetically similar to each other were also more similar in body weight. Most importantly, the study concluded that additive effects of multiple genes could account for up to 30% of the variance of childhood body weight. Previous studies had only been able to account for 2% of this variance.
  • In 2012, Belviq and Qsymia became the first two weight-loss drugs to be approved by the Food and Drug Administration in more than 13 years.
  • Half of patients taking Belviq every day for 12 weeks saw body weight drop by at least 5%. For an adult who is 5’11” and weighs 215 pounds, that equates to 11 pounds.
  • Despite big expectations for Qsymia, sales have stumbled out of the gate. The drug raked in just more than $4 million in the first quarter. By contrast, VIVUS, Inc. (NASDAQ:VVUS) had to write off $5.8 million in expired inventory.
  • Fellow Fool Brian Orelli points out several reasons for muted enthusiasm of obesity drugs. Three previous weight-loss drugs — fen-phen, Meridia, and Acomplia — were infamously yanked from the market after serious health risks were discovered post-marketing.
  • In post marketing studies, fenfluramine (the “fen” in “fen-phen”) was shown to bind to serotonin 2B receptors and cause potentially fatal heart valve damage. The finding led to the drug’s removal from the market, a $13 billion lawsuit, and the current wariness about obesity drugs.
  • Luckily for patients, Belviq has been show to selectively bind to serotonin 2C receptors, which are not associated with the same dangerous health concerns of serotonin 2C binders. Long-term data will likely be needed before doctors feel comfortable that the drug does not pose significant danger to patients.
  • As you can see, it is always a good idea to investigate the facts behind accepted generalities. This list should help investors realize that obesity is truly a complex health problem that also represents a huge opportunity for Arena and VIVUS, Inc. (NASDAQ:VVUS). Both companies certainly have their work cut out for them when it comes to successfully marketing their weight-loss therapies — and true success could take years.

    The article 25 Belt-Busting Obesity Facts originally appeared on Fool.com and is written by Maxx Chatsko.

    Fool contributor Maxx Chatsko has no position in any stocks mentioned. Check out his personal portfolio, his CAPS page, or follow him on Twitter @BlacknGoldFool to keep up with his writing on energy, bioprocessing, and emerging technologies.The Motley Fool has no position in any of the stocks mentioned.

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