INDIA BUSINESS WORLD - August 1^st - August 31^st - 2008

ORCHID ACQUIRES MAJORITY STAKE IN DIAKRON PHARMA

Chennai-based Orchid Chemicals and Pharmaceuticals has acquired majority control in US-based drug firm Diakron Pharmaceuticals Inc, which has an exclusive license agreement for an anti-coagulant drug candidate, discovered and developed by Merck & Co. "Orchid's investment in Diakron, through a combination of services and cash, will result in majority control for Orchid," the Indian pharma major said in a statement. Diakron has an exclusive license agreement with Merck & Co, which has discovered and developed phase I of the drug, Orchid said. Deep vein thrombosis which affects millions of people globally and patients who undergo hip and knee replacement require more patient-friendly medications, Orchid's MD K Raghevendra Rao said in the statement. "Orchid's investment in Diakron and the commitment to develop this Merck discovery are steps in this direction," he said. "The drug is a novel investigational oral anti-coagulant and is anticipated to have considerable potential," the release said.