Pharmaceutical group Elan said yesterday it is in talks about using its multiple sclerosis drug Tysabri in the treatment of some forms of cancer

Speaking to reporters after the group's agm in Dublin yesterday, Elan chief executive Kelly Martin said that while it was very early days, discussions were going on between Elan and its partner Biogen and that the groups should be in a position to update the market at the start of next year. Even though Tysabri is already being sold as a treatment for multiple sclerosis in the US and some parts of Europe, any alternative use of the same drug would have to go through its own regulatory procedure, which usually takes five to eight years.

At a meeting punctuated by shareholders praising the management on their "good work" during the year, Mr Martin repeated an announcement made earlier in the week that Elan plans to start phase three clinical trials of an Alzheimer's drug it is developing with Wyeth Pharmaceuticals later this year. He also welcomed the return to market of Tysabri as a treatment for multiple sclerosis in the US and the launch of the product in Europe, as well as highlighting the excellent performance of Elan's drug technology and sales businesses.

"It is very important we make progress in a whole host of things simultaneously," he told shareholders, adding that the aim is to improve the group's finances and reduce risk.

He also said the group is working on a treatment for Parkinson's disease, although he emphasised that it is at a very early stage.

Mr Martin reiterated earlier comments that the group hoped to break even at an earnings before interest, tax, depreciation and amortisation (ebitda) level by the end of this year and that by the end of 2008, it hoped to be trading profitably.