Sarepta jumps after FDA allows gene therapy for younger patients

Sarepta Therapeutics rose more than 20% on Tuesday morning after the Food and Drug Administration said it was clearing the way for the drugmaker to resume shipments of its gene therapy for Duchenne muscular dystrophy to some patients.

The treatment, called Elevidys, will again be available for younger patients who are unable to walk. Last week, Sarepta said it would stop shipments of the drug at the request of the FDA after initially doubling down on continuing to sell it. The drug began causing concern after it was linked to two deaths in patients.

Sarepta regained some of its losses from the month but is still down more than 80% for the year. Elevidys accounts for half of the company’s revenue.