Houston-Based Firm Makes Deal with Schering-Plough to Develop Asthma Drug.

Byline: Mary Sit-DuVall

Jul. 11--Texas Biotechnology, a Houston company that develops drugs for vascular diseases, said Monday it has signed a multimillion-dollar research collaboration and license agreement with Schering-Plough to develop a treatment for asthma.

The pharmaceutical company said it will work with Schering-Plough to develop VLA-4 antagonists, a new class of compounds that has shown promise to treat asthma in animals.

VLA-4 is a naturally occurring protein that is involved in the inflammation of lung tissue. Texas Biotechnology said its scientists have developed drugs to reduce this inflammation.

"This new drug could treat asthma in a unique way and offer certain advantages over existing therapies," said Pamela Murphy, vice president of corporate communication at Texas Biotechnology.

The deal with Schering-Plough would give it worldwide rights to develop, manufacture and market all compounds from Texas Biotechnology's library of VLA-4 antagonists, as well as a second antagonist, for up to $87 million, excluding royalties. It is the Houston company's biggest research and development deal. An antagonist is a drug that opposes or counteracts another.

"It's a great strategic alliance for us," said David McWilliams, president and chief executive of Texas Biotechnology. "This was a research program that was No. 4 on our priority list. Signing this alliance with Schering-Plough ... gives us an extremely strong partner and funding source for this area which allows us to be competitive long-term."