* Depression drug meets all goals in mid-stage trial

* One adverse event of seizure seen in the trial

* Shares rise 123 pct

By Esha Dey

BANGALORE, July 15 (Reuters) - Targacept Inc (TRGT.O: Quote, Profile, Research) said its experimental depression drug, TC-5214, that was being tested as an augmentation treatment for major depressive disorder, met all the goals of a mid-stage trial, prompting a more than two-fold rise in its stock price.

Patients who received the drug along with citalopram, a common antidepressant, showed a statistically significant improvement in depression according to a standard depression rating scale, as compared to patients taking a dummy drug along with citalopram.

The study was done in patients who did not respond adequately to first-line treatment with citalopram alone, the company said.

Citalopram belongs to a class of antidepressants called selective serotonin reuptake inhibitors, or SSRIs, which affect a message-carrying brain chemical called serotonin.

"We view this as a huge positive for Targacept, as almost half of patients with major depressive disorder (MDD) fail therapy with an SSRI," Natixis Bleichroeder analyst Jon LeCroy said.