Phytopharm plc, which specializes in botanicals, acquired rights to a plant-based antiviral compound for the treatment of hepatitis B.

The deal, with the University of Madras in India, involves the payment of a small cash sum and royalties from sales of any product.

Phytopharm, of Godmanchester, Cambridgeshire, will have exclusive rights outside India and will collaborate with the university and Rallis India Ltd., India's largest agribusiness, to commercialize the product in India. Phytopharm entered a collaboration with Rallis in November 1997.

The university has worked on the compound for a number of years, first as a treatment for jaundice. Studies of the mode of action showed potential benefit in the treatment of hepatitis B.

A selective plant breeding program has been set up by Rallis, and plantations of the variety showing the highest potency against hepatitis B have been established. Extracts made from that variety will be used in a multicenter trial in India early next year, to be funded by Rallis. - Nuala Moran