Israel's Teva to Gain From Elan Tysabri Withdrawal

As its stock market performance in recent days suggests, Israeli drugmaker Teva could become a major beneficiary of the withdrawal of Irish drugmaker Elan's novel Tysabri (natalizumab) treatment for multiple sclerosis. Teva markets Copaxone, a rival ethical treatment for the disease, which earned the Israeli company US$261mn in the fourth quarter of 2004.

Tysabri, produced in association with US biotech firm Biogen Idec, had been expected to become a blockbuster product, but the drug has been voluntarily withdrawn following the death of one patient and the reporting of a further case involving a serious central nervous system disease. Elan had also hoped to secure further indications for Crohn's disease and rheumatoid arthritis. Nevertheless, Teva's two rivals hope to shortly resume marketing the drug.