UPDATE 1-Pharmion says FDA OKs intravenous use of Vidaza

(Adds analyst comments, share movement)

Jan 29 (Reuters) - Pharmion Corp. PHRM.O said it won U.S. regulatory approval for an intravenous version of its drug to treat patients with myelodysplastic syndromes, a group of blood disorders that can lead to leukemia.

The injectable drug, Vidaza, can now be administered over a period of 10 to 40 minutes in a clinic or hospital setting, the biotechnology company said.

The intravenous version would help defend the drug from competition from Dacogen, an injectible treatment made by MGI Pharma Inc. MOGN.O and its partner, SuperGen SUPG.O, Friedman Billings Ramsey analyst Jim Reddoch said.

Vidaza's prospects are better now as its approval for intravenous use for seven days makes it "more lucrative" to doctors than Dacogen, Reddoch said in a research note.

Physicians are paid for each administration of drug, and as the intravenous Vidaza is approved for a seven-day cycle versus Dacogen's five days, physicians can earn $350 more for Vidaza over Dacogen, the analyst said.

"At a minimum, the competitive playing field has now been leveled, since efficacy of both drugs is similar."

Since the approval is for an alternative administration of the existing formulation, Pharmion will begin promoting the intravenous route of administration immediately.

Shares of Pharmion closed up almost 5 percent at $31.82 on the Nasdaq. (Reporting by Julie Steenhuysen in Chicago, Varsha Tickoo in Bangalore)