Shares of Akero Therapeutics (AKRO) doubled Monday when the pharmaceutical firm that focuses on metabolic illnesses reported positive results from a study of its experimental treatment for liver disease.

The company said a 96-week Phase 2b study of those afflicted with cirrhosis caused by metabolic dysfunction-associated steatohepatitis (MASH) and given a 50mg dosage of its drug efruxifermin (EFX) showed that 39% experienced reversal of cirrhosis with no worsening of MASH. That compares to just 15% of those given placebo.

Akero noted that a subgroup of patients who were not on GLP-1 weight-loss medicines, such as Novo Nordisk's (NVO) Wegovy and Eli Lilly's (LLY) Zepbound, had even better outcomes, indicating that those drugs were not the source of the improvement.

Dr. Mazen Nourredin, the principal investigator of the study, said until now, "we've not had the prospect of an effective treatment for compensated cirrhosis due to MASH." Dr. Nourredin added, "Now we have reason to be optimistic about the future potential of EFX as a much-needed treatment for cirrhosis, if approved."

CEO Dr. Andrew Cheng explained that EFX has "transformational potential," and the company is continuing evaluation of the treatment in an ongoing Phase 3 trial.

Akero Therapeutics shares traded near their all-time high set more than two years ago.