Monday, March 17, 2008

Former Biogen execs at Targanta, Cubist to face off over antibiotics

By Ryan McBride

Targanta Therapeutics Corp. is gearing up for an anticipated 2009 commercial launch of a new antibiotic that takes aim at a fellow Massachusetts biotech with a head start in the growing antibiotics market: Cubist Pharmaceuticals Inc.

And the brewing rivalry between the two Bay State biotechs comes with another twist: Several top executives from both companies were once on the same team at Biogen Idec Inc., where some worked together on the large Cambridge biotech's multiple sclerosis drug Avonex.

Targanta, however, has some catching up to do in this race. The Cambridge-based biotech submitted papers to the U.S. Food and Drug Administration in February to request approval of oritavancin, a treatment for antibiotic-resistant skin infections, including the notorious MRSA, or methicillin-resistant Staphylococcus aureus.

Mark Leuchtenberger, president and CEO of Targanta, said he's hoping the U.S. launch of the drug takes place in early 2009.

Cubist, meantime, is among the top pharmaceutical players in the market for antibiotics that treat resistant infections. The biotech's Cubicin had sales of $277.7 million in 2007, up from $272.9 million the previous year, according to figures from market research firm IMS Health Inc., of Norwalk, Conn. New York-based pharma giant Pfizer Inc. led the pack with $665.7 million in 2007 sales of antibiotic Zyvox.

Still, Leuchtenberger said he expects Targanta's main competition in the market to be Cubist. "They are in our crosshairs as the company or the drug to match wits with," he said.

The biotech's FDA application seeks approval of oritavancin as a three-day to seven-day treatment, Leuchtenberger said. And the biotech is now in trials with a version of the drug given as a one-time injection, which Leuchtenberger believes would provide an edge over the competition.

On the other side, a top Cubist exec said he respected Targanta's CEO but pointed out his company's strengths. "Mark's a great guy and a good leader," said Robert Perez, Cubist COO, who worked with Leuchtenberger at Biogen.

Cubist is several years into commercializing Cubicin and has a U.S. sales force of 164 people, Perez said. Its drug is also approved to treat infections of the blood and heart.

With the planned oritavancin launch, Targanta plans to grow the staff in Cambridge from 15 workers to 30 employees this year, Leuchtenberger said. The firm now employs 45 people in drug-development in Indianapolis and 20 people at its discovery labs in Montreal.

The 2007 worldwide market for treatments such as Cubicin was $1.1 billion, up 19 percent from revenue of the products in 2006, according to IMS Health.