According to the company, an intangible asset impairment charge of approximately $235 million, which reflects the full amount allocated to this project, will be taken in the third quarter of 2008 in the pharmaceuticals division.
Novartis gained the rights to this compound in 2006 through the acquisition of NeuTec Pharma.
Phase III clinical trials and submission preparations continue for Mycograb, another development compound acquired with NeuTec that is being assessed as an add-on therapy to antifungal agents in treating invasive candidiasis and other severe fungal infections.