FDA Declines to Approve Targanta Antibiotic

Updated from 1:07 p.m. EST

Targanta Therapeutics(TARG Quote) said Tuesday that the U.S. drug regulators decided not to approve the company's injectable antiobiotic oritavancin until an additional clinical study is performed.

The U.S. Food and Drug Administration's rejection of oritavancin isn't a complete surprise. In late November, an FDA advisory panel voted 10-8 against recommending approval. That decision sent Targanta shares sliding more than 80%.

Targanta shares closed Tuesday at $1.34, down 40.44% from Monday's close of $2.25. ...