Maxygen, Inc. has announced that it would advance a novel factor VII programme into preclinical development.

Maxygen has generated several novel factor VIIa (MAXY-VII) molecule that may provide a more effective treatment for uncontrolled bleeding. In preclinical animal models, MAXY-VII has demonstrated enhanced efficacy and an improved in vivo circulating half-life compared to alternative products. MAXY-VII appears to stimulate more rapid and increased thrombin generation in blood resulting in a significant reduction in blood loss in relevant preclinical models.

Maxygen believes its MAXY-VII product candidate may provide significant advantages over currently marketed products and products in development to treat bleeding episodes in multiple indications such as trauma, haemophilia and intracerebral haemorrhage (ICH).

The current worldwide market for factor VII based products is approximately $600 million, predominantly for the treatment of haemophilia. Analysts estimate annual growth of the haemophilia market to be 7 per cent to 14 per cent with worldwide sales reaching approximately $1.2 billion by 2007. Over the last year, new clinical data has validated the use of factor VII based products in the treatment of severe bleeding in trauma and surgery and for the treatment of intracranial bleeding (hemorrhagic stroke). These additional indications represent substantial market opportunities for Maxygen's factor VII product candidate.

As a result of its ongoing internal product portfolio prioritization and the recent FDA approval of Tysabri for multiple sclerosis, Maxygen will stop further development of its interferon beta programme. While Maxygen believes its improved interferon beta may provide significant advantages over currently marketed interferon beta products, it has decided to discontinue investment of its own funds into additional clinical development and to direct those funds towards the development of other product opportunities, the company release said here.

Maxygen will focus its development efforts on its wholly owned novel G-CSF product candidate, its novel alpha interferon programme (partnered with Roche) and advancement of its factor-VII programme into preclinical development and manufacturing. Both the alpha interferon and G-CSF programmes are targeted for INDs in 2006.