Thursday, September 12, 2019

Lexicon Gets Some Clarity And Cash For Its Zynquista Diabetes Program

For a company that badly needed some good news, Lexicon Pharmaceuticals' (LXRX) announcement of a settlement with now-former partner Sanofi (SNY) for its Zynquista SGLT-1/2 inhibitor is a welcome development. While the settlement, which returns full rights to the drug back to Lexicon and includes a significant cash payment, is not a home run for the company, it is at least a meaningful improvement over a protracted legal fight with Sanofi, and the company can now look to secure a new marketing partner.

The good news for Lexicon is that the Sanofi deal still resulted in a European approval for Type 1 diabetes and a data package that will support filings for Type 2 diabetes in both the U.S. and Europe. The bad news is that further funding will be necessary to finish all of the Zynquista studies, Lexicon absolutely needs a partner to market the drug, and the company is still looking at an uphill climb to gain market share with a drug that doesn’t look particularly differentiated in Type 2 diabetes at this point.

Read the full article here:
Lexicon Gets Some Clarity And Cash For Its Zynquista Diabetes Program

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