Avigen, Targanta Make Deep Cuts

Avigen will halt clinical trials on AV650, a neuromuscular treatment, and sell an early-stage developmental compound for hemophilia, AV513, to Baxter International for $7 million. The firm says it will concentrate on finding a partner to develop AV411, a neurologic pain treatment. The move, which follows poor clinical results for AV650, will eliminate 28 jobs, or 70% of Avigen's staff. Meanwhile, Targanta Therapeutics is cutting its workforce by 75% to 27 employees as it focuses on its lead candidate, oritavancin, a treatment for gram-positive skin infections. Staff reductions at both firms were expected to be completed by the end of December.