UPDATE 1-Oscient Pharma files for bankruptcy

Mon Jul 13, 2009 6:18pm EDT

* Oscient's unit Guardian also files for Chapt 11

* Sells antibiotic Factive to Cornerstone for $5 mln

July 13 (Reuters) - Oscient Pharmaceuticals Corp OSCI.O on Monday filed for Chapter 11 bankruptcy protection and agreed to sell its antibiotic drug Factive to a unit of Cornerstone Therapeutics Inc CRTX.O for $5 million.

Oscient Pharma's unit Guardian II Acquisition Corp also filed for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court for the District of Massachusetts.

Oscient and Guardian are continuing to explore strategic alternatives, including seeking a buyer for the high blood-cholesterol drug Antara and other assets, Oscient said in a statement.

Oscient also expects its common stock to be de-listed from Nasdaq effective July 21.

In a statement, Cornerstone Therapeutics said it agreed to acquire the commercial rights to Factive, or gemifloxacin mesylate, in North America and certain countries in Europe.

Factive is approved for the treatment of acute bacterial exacerbations of chronic bronchitis and community-acquired pneumonia of mild to moderate severity.

Oscient shares closed at 18 cents Monday on Nasdaq, while those of Cornerstone closed at $7.49.

For the alerts double-click [ID:nWNAB6707]. (Reporting by Anand Basu in Bangalore; Editing by Ratul Ray Chaudhuri)