* Arris Pharmaceutical Corp., of South San Francisco, said apreliminary analysis of Phase IIa data showed APC-366, an inhibitorof the serine protease tryptase, validates the company's belief thattryptase is a promising target for the treatment of asthma. Both dosesin the study improved asthmatic responses in the allergen challengemodel, suggesting a level of efficacy that warrants further study.

* BioCryst Pharmaceuticals Inc., of Birmingham, Ala., reportedpreliminary results from a 90-patient Phase II study of BCX-34, atopical treatment for psoriasis. Two northern sites and two in theSunbelt were used. Combined the data did not demonstrate advantageof the drug over placebo. However, data from northern sites onlyshowed statistically significant benefit in clinical scores andphysicians' assessment after 12 weeks. High placebo effects wereseen in the South. The company plans to discuss Phase III trial planswith the FDA.

* GelTex Pharmaceuticals Inc., of Waltham, Mass., proposed apublic offering of 2.5 million shares at $22.75 each. New York firmsCowen & Co. and Hambrecht & Quist LLC are managingunderwriters. GelTex is developing non-absorbed polymer-baseddrugs that selectively bind to and eliminate substances from theintestinal tract.

* Genelabs Technologies Inc., of Redwood City, Calif., said ProgenePartners, a general partnership established with Proteus Internationalplc, of Macclesfield, U.K., was dissolved. The venture, formed in1992, reached its goals earlier than expected, one of which wasdemonstrating the feasibility of designing small molecules withpotential as gene-regulating drugs. Each partner retains rights totechnology contributed and they have co-exclusive rights to datagenerated during the partnership.

* ImmunoGen Inc., of Cambridge, Mass., said data published inBlood showed its lead product, Oncolysin B, overcomes andeliminates multidrug resistance in tumors. ImmunoGen is testing theagent in Phase II trials in combination with conventionalchemotherapy.

* Insmed Pharmaceuticals Inc., of Richmond, Va., closed a $7million venture capital financing, which was led by Dillon, ReadVenture Capital, of New York. Insmed is developing products todiagnose and treat insulin resistance and Type II diabetes. Trials ofthe company's first therapeutic and diagnostic candidates are nearingthe clinic.

* Magainin Pharmaceuticals Inc., of Plymouth Meeting, Pa., saidinvestigators reported that squalamine, in animal studies, inhibitedsolid tumor growth by blocking new blood vessels needed for tumornourishment. Researchers concluded squalamine is a potent andspecific inhibitor of tumor-induced angiogenesis and is well suitedfor inhibiting the angiogenesis-dependent growth of brain tumors.

* North American Vaccine Inc., of Beltsville, Md., is offering 6.5percent convertible subordinated notes in the principal amount of $75million due May 1, 2003. The notes initially are convertible at $24.86per share.

* PathoGenesis Corp., of Seattle, said underwriters exercisedoverallotment options on 375,000 shares, bringing the public offeringto 2.875 million shares at $16.25 per share. Net proceeds are about$43.4 million. (See BioWorld Today, April 29, 1996, p. 3.)

* Vical Inc., of San Diego, said it expects to get a $1 millionmilestone payment from collaborator Merck & Co. Inc., of NewYork. Triggering the milestone was initiation of a Phase I trial of aDNA vaccine against influenza virus, one of seven infectious diseasetargets covered in the agreement.

* Vyrex Corp., of La Jolla, Calif., said a paper in the May issue ofBioTechniques showed its novel CD-Tagging technology, a newmethod for gene discovery and analysis, simultaneously marked atarget gene, it mRNA and its protein product. Current methods targetgenes or proteins, but never at the same time, Vyrex said. In the pastsix months a group led by Jonathan Jarvick, an associate professor atCarnegie Mellon University in Pittsburgh, succeeded in applying CD-Tagging technology to mammalian cells.

* Sheffield Medical Technologies Inc., of New York, received $5.5million through the exercise of outstanding warrants that were issuedin connection with private financings in 1995. About 1.3 millionshares were issued in connection with the warrant exchange.

(c) 1997 American Health Consultants. All rights reserved.