Zogenix drops $86M IPO; Indian biotech to get $1.5B in backing;

> San Diego-based Zogenix has dropped an effort to raise $86 million in an IPO. The company cited market conditions. Report

> Venture capital companies and private equity groups will funnel $1.5 billion to Indian biotech companies over the next five years, according to a joint report from Deloitte and Assocham. Story

> Canada's ProMetic Life Sciences will get $7 million in an "initial strategic investment" from a U.S. biotech company. ProMetic release

> Argos Therapeutics says it presented positive immune response data from a Phase I clinical trial of AGS-004 in HIV-infected adults in combination with antiretroviral therapy. Argos release

> Merck is garnering some goodwill in the AIDS community with price-freezes and discounts on its HIV-fighting drugs. Merck report

> The U.S. Department of Justice has launched a probe of the bile-duct stent market, trying to determine whether companies such as Abbott Laboratories, Boston Scientific and Johnson & Johnson improperly promoted the devices. Report

> In a big trial of type 2 diabetes treatments, Byetta patients had a 75 percent lower chance of dying compared with those who took any other drug. Byetta report

> BMS may very well end up having to pay more for its Erbitux partner. A Wall Street Journal survey of analysts found that they're valuing ImClone at anywhere from $62 a share to $73. Report

> The FDA is tightening up its conflict-of-interest rules for those expert advisory panels that often get involved in the most contentious drug safety decisions (and approvals, too). FDA report

And Finally... The house of UC Santa Cruz molecular biologist David Feldheim was firebombed, forcing his family to flee the burning building through a window in what police officials say was one of two attacks directed against biomedical researchers. Report