ORCHID ACQUIRES U.S.-BASED BEXEL

Indian drugmaker Orchid Chemicals and Pharmaceuticals and U.S.-based Bexel Pharmaceuticals Inc. have reached an understanding by which Orchid would extend its ownership in Bexel from the current 74 percent to 100 percent.

Both companies believe that bringing all drug discovery activities under a unified structure will provide an integration of the several drug discovery program being pursued by the companies while retaining the advantages of having a discovery front in the U.S. and a discovery and developmental hub at Orchid.

Orchid has already established a wholly owned subsidiary, Orchid Research Laboratories, to channel its drug discovery work. The arrangement involves a buy-out by Orchid of Bexel shares for a cash consideration of $3 million.

Bexel's anti-diabetes molecule BLX-1002 has progressed the most of its pipeline, having completed Phase I safety and tolerability studies in healthy human volunteers as well as safety and tolerability studies in diabetic patients.