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**UNITED        STATES**

**SECURITIES        AND EXCHANGE COMMISSION**

**Washington,        D.C. 20549**

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**FORM        10-QSB**

| (Mark                  One)                           |                                                                                                                                                                                    |
|-------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                  |                                                                                                                                                                                    |
| x                                                     | QUARTERLY REPORT                PURSUANT                TO SECTION 13                or 15(d)                OF                THE SECURITIES  EXCHANGE                ACT OF 1934 |
|                                                  | For                  the quarterly period ended October                  31, 2005                                                                                        |
|                                                  |                                                                                                                                                                                    |
| o                                                     | TRANSITION REPORT UNDER SECTION 13 or 15(d) OF                THE                EXCHANGE ACT                                                                                           |
|                                                  |                                                                                                                                                                                    |
|                                                  | For                  the transition period from ______________ to ________________                                                                                                      |
|                                                  |                                                                                                                                                                                    |
|  Commission                  File No. 333-116480 |

**FERMAVIR        PHARMACEUTICALS, INC.**

|   | Florida                                                                                        |   | 16-1639902                                           |   |
|--------|------------------------------------------------------------------------------------------------|--------|------------------------------------------------------|--------|
|   | (State                    or jurisdiction of incorporation or                    organization) |   | (IRS                    Employer Identification No.) |   |
|   |                                                                                           |   |                                                 |   |

|   | 420                      Lexington Avenue, Suite 445, New York, NY 10170 |   |
|--------|--------------------------------------------------------------------------|--------|
|   | (Address                      of Principal Executive Office)             |   |

|   | (212)                      413-0802                    |   |
|--------|--------------------------------------------------------|--------|
|   | (Issuer’s                      telephone number) |   |

|   | N/A                                                                                                                      |   |
|--------|--------------------------------------------------------------------------------------------------------------------------|--------|
|   | (Former                    name, former address and former fiscal year, if changed                    since last report) |   |

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**INTRODUCTORY        NOTE **

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**PART        I – FINANCIAL INFORMATION**

**Item        1:         **
**Financial Statements**

**FermaVir        Pharmaceuticals, Inc. and Subsidiary**

**(A        Development Stage Company)**

**Condensed        Consolidated Balance Sheets**

**(Unaudited)**

----

|                                                                                |   | **October                    31,****2005** |       | **April                    30,****2005** |   |
|-------------------------------------------------------------------------------------|--------|--------------------------------------------|------------|------------------------------------------|--------|
|                                                                                |   |                                       |       |                                     |   |
| **Assets**                                                                          |
|                                                                                |   |                                       |       |                                     |   |
| Current                    assets:                                                  |   |                                       |       |                                     |   |
| Cash                                                                                |   | $                                          | 755,995    |                                     | $      | 224 |   |
| Prepaid                    expenses                                                 |   |                                       | 46,141     |                                     |   | 0 |   |
| Total                    current assets                                             |   |                                       | 802,136    |                                     |   | 224 |   |
|                                                                                |   |                                       |       |                                     |   |   |   |
| Property                    and equipment, net                                      |   |                                       | 25,787     |                                     |   | 0 |   |
| Deposit                                                                             |   |                                       | 43,890     |                                     |   | 0 |   |
| Total                    assets                                                     |   | $                                          | 871,813    |                                     | $      | 224 |   |
|                                                                                |   |                                       |       |                                     |   |   |   |
| **Liabilities                    and Stockholders' Equity (Deficiency)**            |
|                                                                                |   |                                       |       |                                     |   |   |   |
| Current                    liabilities:                                             |   |                                       |       |                                     |   |   |   |
| Accounts                    payable and accrued expenses                            |   | $                                          | 289,886    |                                     | $      | 10,000 |   |
| Note                    payable                                                     |   |                                       | 115,345    |                                     |   | 0 |   |
| Total                    current liabilities                                        |   |                                       | 405,231    |                                     |   | 10,000 |   |
|                                                                                |   |                                       |       |                                     |   |   |   |
| Deferred                    rent                                                    |   |                                       | 8,525      |                                     |   | 0 |   |
| Total                    liabilities                                                |   |                                       | 413,756    |                                     |   | 10,000 |   |
|                                                                                |   |                                       |       |                                     |   |   |   |
| Commitments                    and contingencies                                    |   |                                       |       |                                     |   |   |   |
|                                                                                |   |                                       |       |                                     |   |   |   |
| Stockholders'                    equity (deficiency):                               |   |                                       |       |                                     |   |   |   |
| Preferred                    stock, $0.001 par value, 20,000,000 shares authorized, |   |                                       |       |                                     |   |   |   |
| no                    shares outstanding                                            |   |                                       | 0          |                                     |   | 0 |   |
| Common                    stock, $0.0001 par value, 100,000,000 shares authorized,  |   |                                       |       |                                     |   |   |   |
| 17,053,216                    and 79,380,000 issued and outstanding at              |   |                                       |       |                                     |   |   |   |
| October                    31, 2005 and April 30, 2005, respectively                |   |                                       | 1,705      |                                     |   | 7,932 |   |
| Additional                    paid-in capital                                       |   |                                       | 4,001,658  |                                     |   | 6,568 |   |
| Less                    subscription receivable                                     |   |                                       | (5,600     | )                                        |   | 0 |   |
| Deferred                    stock-based compensation                                |   |                                       | (319,829   | )                                        |   | 0 |   |
| Deficit                    accumulated during development stage                     |   |                                       | (3,219,877 | )                                        |   | (24,276 | ) |
| Total                    stockholders' equity (deficiency)                          |   |                                       | 458,057    |                                     |   | (9,776 | ) |
| Total                    liabilities and stockholders' equity (deficiency)          |   | $                                          | 871,813    |                                     | $      | 224 |   |

----

**FermaVir        Pharmaceuticals, Inc. and Subsidiary**

**(A        Development Stage Company)**

**Condensed        Consolidated Statements of Operations**

**(Unaudited)**

----

|                                                                                 |       | **Three                    Months Ended****October                    31** | ** **  | **Six                    Months Ended****October                    31** | ** ** | **For                    the period****November                    15, 2002****(Inception)                    to October 31,** | ** ** |
|--------------------------------------------------------------------------------------|------------|----------------------------------------------------------------------------|-------------|--------------------------------------------------------------------------|------------|--------------------------------------------------------------------------------------------------------------------------------|------------|
| ** **                                                                           | ** ** | **2005**                                                                   | ** **  | **2004**                                                                 | ** ** | **2005**                                                                                                                       | ** ** | **2004** | ** ** | **2005** |   |
| Revenues                                                                             |       | $                                                                          | 0           |                                                                     | $          | 0                                                                                                                              |       | $ | 0 |   | $ | 0 |   | $ | 0 |   |
|                                                                                 |       |                                                                       |        |                                                                     |       |                                                                                                                           |       |   |   |   |   |   |   |   |   |   |
| Operating                    expenses:                                               |       |                                                                       |        |                                                                     |       |                                                                                                                           |       |   |   |   |   |   |   |   |   |   |
| Research                    and development                                          |       |                                                                       | 291,272     |                                                                     |       | 0                                                                                                                              |       |   | 291,272 |   |   | 0 |   |   | 291,272 |   |
| Estimated                    charge for acquired in-process research and development |       |                                                                       | 2,695,054   |                                                                     |       | 0                                                                                                                              |       |   | 2,695,054 |   |   | 0 |   |   | 2,695,054 |   |
| General                    and administrative                                        |       |                                                                       | 206,544     |                                                                     |       | 20                                                                                                                             |       |   | 206,768 |   |   | 4,075 |   |   | 231,044 |   |
| Total                    operating expenses                                          |       |                                                                       | 3,192,870   |                                                                     |       | 20                                                                                                                             |       |   | 3,193,094 |   |   | 4,075 |   |   | 3,217,370 |   |
| Operating                    loss                                                    |       |                                                                       | (3,192,870  | )                                                                        |       | (20                                                                                                                            | )          |   | (3,193,094 | ) |   | (4,075 | ) |   | (3,217,370 | ) |
|                                                                                 |       |                                                                       |        |                                                                     |       |                                                                                                                           |       |   |   |   |   |   |   |   |   |   |
| Other                    (income) expense:                                           |       |                                                                       |        |                                                                     |       |                                                                                                                           |       |   |   |   |   |   |   |   |   |   |
|                                                                                 |       |                                                                       |        |                                                                     |       |                                                                                                                           |       |   |   |   |   |   |   |   |   |   |
| Interest                    income                                                   |       |                                                                       | (1,866      | )                                                                        |       | 0                                                                                                                              |       |   | (1,866 | ) |   | 0 |   |   | (1,866 | ) |
| Interest                    expense                                                  |       |                                                                       | 4,373       |                                                                     |       | 0                                                                                                                              |       |   | 4,373 |   |   | 0 |   |   | 4,373 |   |
| Total                    other expense                                               |       |                                                                       | 2,507       |                                                                     |       | 0                                                                                                                              |       |   | 2,507 |   |   | 0 |   |   | 2,507 |   |
| Net                    loss                                                          |       |                                                                       | ($3,195,377 | )                                                                        |       | ($20                                                                                                                           | )          |   | ($3,195,601 | ) |   | ($4,075 | ) |   | ($3,219,877 | ) |
|                                                                                 |       |                                                                       |        |                                                                     |       |                                                                                                                           |       |   |   |   |   |   |   |   |   |   |
| Net                    loss per common share:                                        |       |                                                                       |        |                                                                     |       |                                                                                                                           |       |   |   |   |   |   |   |   |   |   |
| Basic                    and diluted                                                 |       | $                                                                          | (0.12       | )                                                                        | $          | (0.00                                                                                                                          | )          | $ | (0.06 | ) | $ | (0.00 | ) |   |   |   |
|                                                                                 |       |                                                                       |        |                                                                     |       |                                                                                                                           |       |   |   |   |   |   |   |   |   |   |
| Weighted                      average shares of common stock outstanding:            |       |                                                                       |        |                                                                     |       |                                                                                                                           |       |   |   |   |   |   |   |   |   |   |
| Basic                    and diluted                                                 |       |                                                                       | 27,368,262  |                                                                     |       | 79,380,000                                                                                                                     |       |   | 53,374,131 |   |   | 79,380,000 |   |   |   |   |

----

****FermaVir        Pharmaceuticals, Inc. and Subsidiary****

****(A        Development Stage Company)****

****Condensed        Consolidated Statements of Stockholders’ Equity        (Deficiency)****

****(Unaudited)****

----

|                                                                                                                                                                |       |                                     | ** ** |                                      | ** ** |            | ** ** |             | ** **  |            | ** ** | **Deficit**     | ** ** |             | ** ** |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------|------------------------------------------|------------|-------------------------------------------|------------|-----------------|------------|------------------|-------------|-----------------|------------|-----------------|------------|------------------|------------|
| ** **                                                                                                                                                          | ** ** |                                     | ** ** |                                      | ** ** |            | ** ** |             | ** **  |            | ** ** |            | ** ** | **Deferred**     | ** ** | **Accumulated** | ** ** | ** ** | ** ** |
| ** **                                                                                                                                                          | ** ** | ** **                               | ** ** | ** **                                | ** ** | ** **      | ** ** | ** **       | ** **  | **Additional**  | ** ** | ** **      | ** ** | **Stock-**       | ** ** | **During** | ** ** | ** ** | ** ** |
| ** **                                                                                                                                                          | ** ** | **Preferred                      Stock** |            | ****Common                      Stock**** | ** ** | ****Paid-In**** | ** ** | **Subscription** | ** **  | **Based**       | ** ** | **Development** | ** ** | ** **       | ** ** |
| ** **                                                                                                                                                          | ** ** | ****Shares****                           | ** ** | **Amount**                                | ** ** | ****Shares****  | ** ** | ****Amount****   | ** **  | ****Capital**** | ** ** | **Receivable**  | ** ** | **Compensation** | ** ** | **Stage** |   | **Total** |   |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance,                      November 15, 2002 (Inception)                                                                                                         |       |                                     | 0          |                                      | $          | 0               |       |             | 0           |            | $          | 0               |       | $                | 0          |   | $ | 0 |   | $ | 0 |   | $ | 0 |   | $ | 0 |   |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance                      of common stock to founders for subscription receivable at                      $0.00003 per share                          |       |                                     |       |                                      |       |            |       |             | 70,560,000  |            |       | 7,050           |       |             | (5,050     | ) |   | (2,000 | ) |   |   |   |   |   |   |   | 0 |   |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance,                      April 30, 2003                                                                                                                        |       |                                     | 0          |                                      |       | 0               |       |             | 70,560,000  |            |       | 7,050           |       |             | (5,050     | ) |   | (2,000 | ) |   | 0 |   |   | 0 |   |   | 0 |   |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Payment                      of subscription receivable                                                                                                             |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   | 2,000 |   |   |   |   |   |   |   |   | 2,000 |   |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance                      of common stock for cash at $0.0014 per share                                                                                         |       |                                     |       |                                      |       |            |       |             | 8,820,000   |            |       | 882             |       |             | 11,618     |   |   |   |   |   |   |   |   |  |   |   | 12,500 |   |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net                      loss                                                                                                                                       |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   | (159 | ) |   | (159 | ) |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance,                      April 30, 2004                                                                                                                        |       |                                     | 0          |                                      |       | 0               |       |             | 79,380,000  |            |       | 7,932           |       |             | 6,568      |   |   | 0 |   |   | 0 |   |   | (159 | ) |   | 14,341 |   |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net                      loss                                                                                                                                       |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   | (24,117 | ) |   | (24,117 | )  |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance,                      April 30, 2005                                                                                                                        |       |                                     | 0          |                                      |       | 0               |       |             | 79,380,000  |            |       | 7,932           |       |             | 6,568      |   |   | 0 |   |   | 0 |   |   | (24,276 | ) |   | (9,776 | ) |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance                        of common stock and warrants for cash at $0.75 per share                        net of                        expenses              |       |                                     |       |                                      |       |            |       |             | 3,524,193   |            |       | 352             |       |             | 2,612,965  |   |   |   |   |   |   |   |   |   |   |   | 2,613,317 |   |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Stock                      issued in connection with the acquisition of FermaVir Research,                      Inc.                      valued at $0.70 per share |       |                                     |       |                                      |       |            |       |             | 1,829,000   |            |       | 183             |       |             | 1,280,117  |   |   | (5,600 | ) |   |   |   |   |   |   |   | 1,274,700 |   |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Redemption                      and retirement of stock at $0.011 per share                                                                                         |       |                                     |            |                                      |       |                 |       |             | (67,679,977 | )               |       | (6,762          | )          |             | (743,238   | ) |   |   |   |   |   |   |   |   |   |   | (750,000 | ) |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance                      of stock options to consultants                                                                                                       |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             | 508,698    |   |   |   |   |   |   |   |   |   |   |   | 508,698 |   |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Issuance                      of stock options to directors and employee                                                                                            |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             | 336,548    |   |   |   |   |   | (336,548 | ) |   |   |   |   | 0 |   |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Amortization                        of deferred stock-based compensation                                                                                            |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   | 16,719 |   |   |   |   |   | 16,719 |   |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net                      loss                                                                                                                                       |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   | (3,195,601 | ) |   | (3,195,601 | ) |
|                                                                                                                                                                |       |                                     |       |                                      |       |            |       |             |        |            |       |            |       |             |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance,                      October 31, 2005                                                                                                                      |       |                                     | 0          |                                      | $          | 0               |       |             | 17,053,216  |            | $          | 1,705           |       | $                | 4,001,658  |   |   | ($5,600 | ) |   | ($319,829 | ) |   | ($3,219,877 | ) | $ | 458,057 |   |

----

****FermaVir        Pharmaceuticals, Inc. and Subsidiary****

****(A        Development Stage Company)****

****Condensed        Consolidated Statements of Cash Flows****

****(Unaudited)****

----

|                                                                                                                                                 |       | **Six                    Months Ended****October                    31** | ** ** | **For                    the period****November                    15, 2002****(Inception)                    to****October                    31,** | ** ** |
|------------------------------------------------------------------------------------------------------------------------------------------------------|------------|--------------------------------------------------------------------------|------------|------------------------------------------------------------------------------------------------------------------------------------------------------|------------|
| ** **                                                                                                                                           | ** ** | **2005**                                                                 | ** ** | **2004**                                                                                                                                             | ** ** | **2005** |   |
| Operating                    activities:                                                                                                             |       |                                                                     |       |                                                                                                                                                 |       |   |   |
|                                                                                                                                                 |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Net                    loss                                                                                                                          |       | $                                                                        | (3,195,601 | )                                                                                                                                                    | $          | (4,075 | ) | $ | (3,219,877 | ) |
|                                                                                                                                                 |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Adjustments                    to reconcile net loss to net cash used in operating activities:                                                       |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Non-cash                    charge for the write-off of estimated acquired in-process research                    and                    development |       |                                                                     | 2,695,054  |                                                                                                                                                 |       | 0 |   |   | 2,695,054 |   |
| Depreciation                                                                                                                                         |       |                                                                     | 1,265      |                                                                                                                                                 |       | 0 |   |   | 1,265 |   |
| Amortization                    of deferred stock based compensation                                                                                 |       |                                                                     | 16,719     |                                                                                                                                                 |       | 0 |   |   | 16,719 |   |
| Non-cash                    charge for issuance of warrants for services                                                                             |       |                                                                     | 3,863      |                                                                                                                                                 |       | 0 |   |   | 3,863 |   |
| Changes                    in operating assets and liabilities, net of acquisition:                                                                  |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Decrease                    in prepaid expenses                                                                                                      |       |                                                                     | 6,129      |                                                                                                                                                 |       | 0 |   |   | 6,129 |   |
| Increase                    in deposit                                                                                                               |       |                                                                     | (43,890    | )                                                                                                                                                    |       | 0 |   |   | (43,890 | ) |
| Decrease                    in accounts payable and accrued expenses                                                                                 |       |                                                                     | (11,839    | )                                                                                                                                                    |       | 0 |   |   | (1,839 | ) |
| Increase                    in deferred rent                                                                                                         |       |                                                                     | 8,525      |                                                                                                                                                 |       | 0 |   |   | 8,525 |   |
|                                                                                                                                                 |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Net                    cash used in operating activities                                                                                             |       |                                                                     | (519,775   | )                                                                                                                                                    |       | (4,075 | ) |   | (534,051 | ) |
|                                                                                                                                                 |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Investing                    activities:                                                                                                             |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
|                                                                                                                                                 |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Purchase                    of property and equipment                                                                                                |       |                                                                     | (27,052    | )                                                                                                                                                    |       | 0 |   |   | (27,052 | ) |
| Cash                    acquired in acquisition                                                                                                      |       |                                                                     | 27,156     |                                                                                                                                                 |       | 0 |   |   | 27,156 |   |
|                                                                                                                                                 |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Net                    cash provided by investing activities                                                                                         |       |                                                                     | 104        |                                                                                                                                                 |       | 0 |   |   | 104 |   |
|                                                                                                                                                 |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Financing                    activities:                                                                                                             |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
|                                                                                                                                                 |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Proceeds                    from sale of common stock net of expenses                                                                                |       |                                                                     | 2,613,317  |                                                                                                                                                 |       | 0 |   |   | 2,627,817 |   |
| Redemption                    of common stock                                                                                                        |       |                                                                     | (400,000   | )                                                                                                                                                    |       | 0 |   |   | (400,000 | ) |
| Repayment                    of notes payable to related party                                                                                       |       |                                                                     | (937,875   | )                                                                                                                                                    |       | 0 |   |   | (937,875 | ) |
|                                                                                                                                                 |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Net                    cash provided by financing activities                                                                                         |       |                                                                     | 1,275,442  |                                                                                                                                                 |       | 0 |   |   | 1,289,942 |   |
|                                                                                                                                                 |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Net                    change in cash                                                                                                                |       |                                                                     | 755,771    |                                                                                                                                                 |       | (4,075 | ) |   | 755,995 |   |
|                                                                                                                                                 |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Cash                    - Beginning of period                                                                                                        |       |                                                                     | 224        |                                                                                                                                                 |       | 14,341 |   |   | 0 |   |
|                                                                                                                                                 |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Cash                    - End of period                                                                                                              |       | $                                                                        | 755,995    |                                                                                                                                                 | $          | 10,266 |   | $ | 755,995 |   |
|                                                                                                                                                 |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Supplemental                    disclosure of non-cash investing and financing activities:                                                           |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
|                                                                                                                                                 |       |                                                                     |       |                                                                                                                                                 |       |   |   |   |   |   |
| Issuance                    of common stock in business combination                                                                                  |       | $                                                                        | 1,280,300  |                                                                                                                                                 | $          | 0 |   | $ | 1,280,300 |   |
| Assumption                    of consultants' options in connection with business                    combination                                     |       |                                                                     | 508,698    |                                                                                                                                                 |       | 0 |   |   | 508,698 |   |
| Assumption                    of employee options in connection with business                    combination                                         |       |                                                                     | 303,348    |                                                                                                                                                 |       | 0 |   |   | 303,348 |   |
| Issuance                    of stock options to directors                                                                                            |       |                                                                     | 33,200     |                                                                                                                                                 |       | 0 |   |   | 33,200 |   |
| Net                    liabilities assumed in business combination                                                                                   |       |                                                                     | 785,992    |                                                                                                                                                 |       | 0 |   |   | 785,992 |   |
| Note                    payable issued in connection with redemption of shares                                                                       |       |                                                                     | 350,000    |                                                                                                                                                 |       | 0 |   |   | 350,000  |   |

----

**FermaVir        Pharmaceuticals, Inc. and Subsidiary**

**(A        Development Stage Company)**

**Notes        to Condensed Consolidated Financial        Statements**

**(Unaudited)**

**1)                     **
**Business**

----

**FermaVir            Pharmaceuticals, Inc. and Subsidiary**

**(A            Development Stage Company)**

**Notes            to Condensed Consolidated Financial Statements**

**(Unaudited)**

**2)                   **
**Basis            of Presentation and Significant Accounting Policies**

***Basis            of Presentation***

***Use            of Estimates***

----

**FermaVir            Pharmaceuticals, Inc. and Subsidiary**

**(A              Development Stage Company)**

**Notes              to Condensed Consolidated Financial Statements**

**(Unaudited)**

***Property            and Equipment***

***Research            and Development***

***Stock-Based            Compensation***

----

**FermaVir              Pharmaceuticals, Inc. and Subsidiary**

**(A              Development Stage Company)**

**Notes              to Condensed Consolidated Financial Statements**

**(Unaudited)**

**3)                   **
**Acquisition            of FermaVir Research, Inc.**

| Assets                    acquired:                               |   |   |      |   |
|-------------------------------------------------------------------|--------|--------|-----------|--------|
| Cash                                                              |   | $      | 27,156    |   |
| Acquired                      in-process research and development |   |   | 2,695,054 |   |
| Deferred                      stock-based compensation            |   |   | 303,348   |   |
| Prepaid                      expenses                             |   |   | 52,270    |   |
| Other                      current assets                         |   |   | 5,600     |   |
|                                                              |   |   | 3,083,428 |   |

----

**FermaVir              Pharmaceuticals, Inc. and Subsidiary**

**(A              Development Stage Company)**

**Notes              to Condensed Consolidated Financial Statements**

**(Unaudited)**

| Liabilities                      assumed:                  |   |   |      |
|------------------------------------------------------------|--------|--------|-----------|
| Accounts                      payable and accrued expenses |   |   | 140,642   |   |
| Note                      payable                          |   |   | 703,220   |   |
|                                                       |   |   | 843,862   |   |
|                                                       |   |   |      |   |
| Purchase                      price                        |   | $      | 2,239,566 |   |

|                                                                        |       | **Three                      Months Ended****October                      31,** | ** ** | **Six                      Months Ended****October                      31,** | ** ** |
|-----------------------------------------------------------------------------|------------|---------------------------------------------------------------------------------|------------|-------------------------------------------------------------------------------|------------|
| ** **                                                                  | ** ** | **2004**                                                                        | ** ** | **2005**                                                                      | ** ** | **2004** | ** ** | **2005** |   |
| Net                      loss                                               |       | $                                                                               | (5,270     | )                                                                             | $          | (501,244 | ) | $ | (14,575 | ) | $ | (506,718 | ) |
|                                                                        |       |                                                                            |       |                                                                          |       |   |   |   |   |   |   |   |   |
| Weighted                        average number of common shares outstanding |       |                                                                            | 16,354,023 |                                                                          |       | 16,407,222 |   |   | 16,354,023 |   |   | 16,380,623 |   |
|                                                                        |       |                                                                            |       |                                                                          |       |   |   |   |   |   |   |   |   |
| Loss                        per common share - Basic and diluted            |       | $                                                                               | (0.00      | )                                                                             | $          | (0.03 | ) | $ | (0.00 | ) | $ | (0.03 | ) |

----

**FermaVir              Pharmaceuticals, Inc. and Subsidiary**

**(A              Development Stage Company)**

**Notes              to Condensed Consolidated Financial Statements**

**(Unaudited)**

**4)       ****Property            and Equipment:**

| Furniture                                          |   | $      | 11,615 |   |
|----------------------------------------------------|--------|--------|--------|--------|
| Equipment                                          |   |   | 15,437 |   |
|                                               |   |   | 27,052 |   |
| Less                      accumulated depreciation |   |   | 1,265  |   |
| Property                      and equipment, net   |   | $      | 25,787 |   |

**5)                   **
**Licensing            Agreement and Commitments**

**6)                   **
**Notes            Payable to Related Party**

----

**FermaVir              Pharmaceuticals, Inc. and Subsidiary**

**(A              Development Stage Company)**

**Notes              to Condensed Consolidated Financial Statements**

**(Unaudited)**

**7)                   **
**Stockholders'            Equity**

***Stock            Split***

***Financing            Activities***

| a)     | The                      Company issued 2,825,000 shares of common stock and warrants                      to purchase                      423,750 shares of common stock to new investors at a price                      of $.75 per                      share and received net proceeds of $2,092,486. The warrants expire                      on                      August 16, 2010 and have an exercise price of $1.50 per share;                      and |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| b)     | The                      Company redeemed and cancelled 67,679,977 common shares held                      by a related                      party for total consideration of $750,000 consisting of $400,000                      in cash                      and the issuance of a $350,000 promissory note to that related                      party as                      previously described in Note 6.                                                         |

----

**FermaVir              Pharmaceuticals, Inc. and Subsidiary**

**(A              Development Stage Company)**

**Notes              to Condensed Consolidated Financial Statements**

**(Unaudited)**

**8)                   **
**Stock            Options and Warrants**

----

**FermaVir              Pharmaceuticals, Inc. and Subsidiary**

**(A              Development Stage Company)**

**Notes              to Condensed Consolidated Financial Statements**

**(Unaudited)**

| Dividend                      yield          |   |   | 0%                                  |   |
|----------------------------------------------|--------|--------|-------------------------------------|--------|
| Risk-free                      interest rate |   |   | 4.0%                      to 4.5%   |   |
| Volatility                                   |   |   | 80%                                 |   |
| Expected                      life           |   |   | 3.7                      to 5 years |   |

----

**FermaVir              Pharmaceuticals, Inc. and Subsidiary**

**(A              Development Stage Company)**

**Notes              to Condensed Consolidated Financial Statements**

**(Unaudited)**

**9)                     **
**Consulting              Agreement With Related Party**

**10)       **
**Facility            Lease **

| Fiscal                    years ending                    April 30: |   |   |    |   |
|---------------------------------------------------------------------|--------|--------|---------|--------|
|                                                                |   |   |    |   |
| 2006                                                                |   | $      | 43,000  |   |
| 2007                                                                |   |   | 90,000  |   |
| 2008                                                                |   |   | 92,000  |   |
| 2009                                                                |   |   | 95,000  |   |
| 2010                                                                |   |   | 98,000  |   |
| Thereafter                                                          |   |   | 239,000 |   |
| Total                                                               |   | $      | 657,000 |   |

----

**Item            2:          **
**Management’s            Discussion and Analysis or Plan of Operation**

**Overview**

**Plan            of Operation**

----

**Results            of Operations – Three Months Ended October 31, 2005 Compared To The Three            Months Ended October 31, 2004**

**Results            of Operations – Six Months Ended October 31, 2005 Compared To The Six            Months Ended October 31, 2004**

----

**Liquidity            and Capital Resources**

----

| a)     | On                      August 16, 2005, we issued 2,825,000 shares of common stock                      and warrants                      to purchase 423,750 shares of common stock to new investors                      and received                      gross proceeds of $2,118,390 at a price of $.75 per share.                      The warrants                      expire on August 16, 2010 and have an exercise price of $1.50                      per                      share;                                                                                                                                                                                                                                                                                                                                                                |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| b)     | On                      August 16, 2005, we redeemed and cancelled 67,679,977 common                      shares held                      by a related party for total consideration of $750,000 consisting                      of                      $400,000 in cash and the issuance of a $350,000 promissory                      note to that                      related party. On October 24, 2005, we repaid principal of                      $234,655. On                      November 4, 2005, $112,500 of the remaining principal amount                      due under                      this note was utilized by the related party for the purchase                      of our common                      stock as described below and we repaid the remaining outstanding                      principal                      in cash; |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| c)     | On                      October 24, 2005, we issued 699,193 shares of common stock                      and warrants to                      purchase 104,879 shares of common stock and received gross                      proceeds of                      $524,331 at a price of $.75 per share.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| d)     | On                      November 4, 2005, we issued 150,000 shares of common stock                      and warrants to                      purchase 22,500 shares of common stock for consideration of                      $112,500 at a                      price of $.75 per share. Consideration for this transaction                      was the                      reduction of $112,500 due to a related party under the terms                      of a                      promissory note as described above; and                                                                                                                                                                                                                                                                                                                                |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| e)     | On                      December 1, 2005, we issued 186,000 shares of common stock                      and warrants to                      purchase 27,900 shares of common stock for consideration of                      $139,500 at a                      price of $.75 per share.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |

| Proceeds                      from the sale of common stock net of expenses |   | $      | 2,613,317 |   |
|-----------------------------------------------------------------------------|--------|--------|-----------|--------|
| Redemption                      of common stock                             |   |   | (400,000  | )      |
| Net                      reduction in notes payable to a related party      |   |   | (937,875  | )      |
| Operating                      activities                                   |   |   | (519,775  | )      |
| Other,                      net                                             |   |   | 104       |   |
|                                                                        |   | $      | 755,771   |   |

----

**Critical            Accounting Policies**

----

| **a)** | **Accounting                      for Acquisitions**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|   | We                      account for our acquisitions utilizing the purchase method                      in accordance                      with Statement of Financial Accounting Standards No. 141 “Business                      Combinations”. Under the purchase method, assets acquired and liabilities                      assumed by the Company are recorded at their estimated fair                      values as of                      the date of acquisition and the results of operations of the                      acquired                      company are consolidated with those of the Company from the                      date of                      acquisition.                                                                                                                                |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| **b)** | **Accounting                      for Stock-Based Compensation**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|   | We                      account for our stock options and warrants using the fair value                      method                      promulgated by Statement of Financial Accounting Standards                      No. 123                      “Accounting for Stock-Based Compensation” which addresses the accounting                      for transactions in which an entity exchanges its equity instruments                      for                      goods or services. Therefore, our results include non-cash                      compensation                      expense as a result of the issuance of stock options and warrants                      and we                      expect to record additional non-cash compensation expense in                      the                      future. |

**Item            3:          **
**Controls            and Procedures**

----

**PART            II - OTHER INFORMATION**

**Item            2:          **
**Unregistered            Sales of Equity Securities and Use of Proceeds**

**Item            6:          **
**Exhibits**

| 31.1   | Certification                      of Chief Executive and Principal                      Financial                      Officer Pursuant to Rule 13a-14(a) and Rule 15d-14(a) under                      the Exchange                      Act.                                                         |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                    |
| 32.1   | Certification                      of Chief Executive and Principal                      Financial                      Officer pursuant to 18 U.S.C. Section 1350 as adopted pursuant                      to Section                      906 of the Sarbanes-Oxley Act of                      2002. |

----

**SIGNATURE**

|                                           |                                                                                                                                                    |                                                    |
|------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------|
| Dated: December                  20, 2005 | FERMAVIR                PHARMACEUTICALS, INC.                                                                                                           |
|                                      |                                                                                                                                               |                                               |
|                                           | By:                                                                                                                                           | /s/                Geoffrey W. Henson    |
|                                           |                                                                                                                                                         |
|                                           | Geoffrey                  W. Henson, Chief Executive Officer(Chief                  Executive Officer and Principal Financial                  Officer) |

----