Updates shares, adds graphic and analyst comment in paragraph 3

By Bhanvi Satija

Jan 27 (Reuters) - Veru VERU.O said on Monday its experimental drug in combination with Novo Nordisk's NOVOb.CO weight-loss treatment Wegovy, helped preserve muscle in older patients with obesity, meeting the main goal of a mid-stage study.

Shares of the drug developer, however, fell 44% to 67 cents in morning trading as patients receiving Veru's drug and Wegovy did not shed more pounds compared to those on Wegovy and placebo. The company also did not disclose safety data from the study.

"We believe weight loss of the combined drugs and safety are (the) key metrics investors are looking for," Truist Securities analyst Srikripa Devarakonda said, adding that Veru's data "attempts to address the importance of muscle preservation."

Patients on Veru's oral drug, enobosarm, and Wegovy lost 71% less lean muscle on average than those who received placebo and Wegovy over 16 weeks. Those who received the enobosarm and Wegovy combination lost more fat mass, Veru said.

Veru, Eli Lilly LLY.N, Regeneron REGN.O and Scholar Rock SRRK.O are among the several drugmakers aiming to help obesity patients improve the quality of their weight loss while preserving muscle mass and losing more fat.

Enobosarm was tested in 168 overweight or obese patients aged 60 years and above, who are at a greater risk of falls and fractures.

The drug targets the androgen receptors present in skeletal muscle and play a role in body development.

About 19% of the patients on enobosarm and Wegovy lost at least 10% of their power to climb stairs - fewer than the 42.6% of patients on Wegovy alone who experienced a similar or greater loss.

Veru will test the effects of its drug on stair climb power as the main goal in a larger study.

It is also testing whether enobosarm can prevent the fat and weight regain that can occur once patients stop taking Wegovy in an extension study. It plans to disclose safety details in April, once the extension study is completed.

(Reporting by Bhanvi Satija in Bengaluru; Editing by Arun Koyyur, Devika Syamnath, Anil D'Silva and Shinjini Ganguli)

((Bhanvi.Satija@thomsonreuters.com; Outside U.S. +91 9873062788;))