La Jolla feels the burn of rival malaria approval; With another $10B, Bayer could finally weed out its herbicide problem

? La Jolla Pharmaceutical‘s shares $LJPC tumbled about 20% to $5.48 on Wednesday morning after another company — Maryland-based Amivas — was granted FDA approval for an IV formulation of an artesunate product for malaria. Artesunate is the active ingredient used in La Jolla’s lead experimental product, LJPC-0118, which is being developed for use in severe malaria. The Amivas news comes as a big blow to La Jolla’s prospects as FDA regulations state that the agency will not approve another sponsor’s marketing application for the same drug for the same use or indication within 7 years of the initial approval.

? German drugmaker Bayer