Bengaluru: Wave Life Sciences shares plunged 58% on Thursday after a higher dose of its experimental obesity drug failed to show a clear improvement at reducing a dangerous type of belly fat.The Cambridge-based company’s market value is set to fall by about $1.35 billion, if losses hold.In an early-stage trial, patients who received one injection of Wave’s drug, WVE-007, at the higher 400-milligram dose lost about 5% of visceral fat – the dangerous fat that builds up around internal organs – after three months.But this did not show a clear improvement over the 14% visceral fat loss after six months for those who got the 240 mg dose.Investors are likely discouraged by the 400 mg data at 3 months, which look similar on visceral fat as 240 mg and not as good on total fat and lean mass,” a Leerink Partners analyst said in a note.”Wave delivered half of what we were hoping to see for WVE-007,” said Cantor analyst Steve Seedhouse.Also Read: GSK, Wave Life Sciences collaborate to drive development of oligonucleotide therapeutics focusing on novel genetic targetsCEO Paul Bolno said the company expects “substantially larger effects” when it moves to heavier patients in its upcoming mid-stage study, which will enroll people with BMIs of 35 to 50.The mid-stage study including higher BMI patients with multiple doses will be needed before the obesity thesis can be properly evaluated, B. Riley Securities analyst Madison El-Saadi said.In the reported study, patients on the 240-mg dose lost about 0.9% of their body weight on average compared with placebo after six months of follow-up.Wave executives said the weaker-looking result reflected who was enrolled, and not the drug’s limits.The 400-mg group started with “notably healthier” body composition, including about 30% less visceral fat at baseline, Chief Medical Officer Chris Wright told investors on a conference call.