When PathoGenesis Corp. announced that it had taken a 20 percent equity stake in PulmoPharm GmbH, the deal might have been taken for a pipeline building play on the part of PGNS. Following the company's decision earlier this year to backburner rifalazil for tuberculosis, PGNS's only clinical programs are for additional indications of its TOBI tobramycin for inhalation, which has U.S. and Canadian approval to treat Pseudomonas aeruginosa infections in patients with cystic fibrosis.

However, earlier this year, Chairman, President and