One shot on goal

One compound does not make a viable company. But Forward Ventures is interested in forming a mostly virtual company to oversee a Phase IIb trial of Merck KGaA's asimadoline to treat pain from irritable bowel syndrome (IBS). The firm hopes to form a syndicate to finance the trial through a newly formed company, Tioga Pharmaceuticals Inc. If the trial is successful, Forward will have to choose between building a real company and selling the product for a quick profit.

For Merck, the deal is one of the final steps in its ongoing pipeline rationalization, which has refocused the company on cancer and cardiometabolic disorders (see "Merck Finding Focus"). ...