Dr Reddy’s Laboratories, has stopped further development of a new drug aimed at treating diabetes and obesity
Dr. Reddy has stopped development of the molecule was undergoing pre-clinical toxicology studies on animals. It was also one of the four molecules transferred to Perlecan Pharma, Dr Reddy’s Lab new drug development company. According to industry sources, It costs about $3-4 million to take a new drug upto phase I of human trials.
Perlecan Pharma, the drug development company set up by Dr Reddy’s in September 2005, had received equity commitment of $52.5 million, with Citigroup Venture and ICICI Venture contributing $22.5 million each, and Dr.Reddy’s$7.5million.