In what its CEO called the most significant transaction in the history of the company, Nastech Pharmaceutical Co. Inc. formed a potential $346 million global alliance with Merck & Co. Inc. to develop and commercialize Peptide YY 3-36 Nasal Spray (PYY) for obesity. (BioWorld Today)

Vion Pharmaceuticals Inc. decided to move one lead cancer drug into pivotal trials, while expanding the Phase II trials of its other one. (BioWorld Today)

While Wall Street frowned on Labopharm Inc.'s decision to conduct another Phase III trial of its once-daily formulation of tramadol, the company's president and CEO reiterated what one analyst said on a conference call Wednesday. (BioWorld Today)

In a deal that could bring Xenon Pharmaceuticals Inc. $157 million in pre-commercial payments, Novartis Pharma AG agreed to research, develop and commercialize compounds from Xenon's SCD1 drug development program. (BioWorld Today)