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Biotech / Medical : Ligand (LGND) Breakout!
LGND 185.86-0.1%Feb 11 3:59 PM EST

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To: J Stone who wrote (28232)2/18/1999 11:04:00 AM
From: Henry Niman   of 32384
 
Jeff, I have heard that Targretin "works" in type II diabetes patients, but have not seen any data. It's my understanding that LGND tried to titer down the dose to retain the insulin sensitization properties, without the tryclyceride elevating side effects.

Today's press release suggests that they were not able to get the ratio favorable enough for LLY to initiate clinical trials, which would be very long and expensive (which is why LGND cannot do this internally).

The press release indicates that the milestones expected from the 1st generation rexinoids could be replaced by milestone payments for the second generation compounds. At H&Q Robinson indicate that more progress has been made under the LLY alliances than all earlier alliances.

When LGND and AGN divided up the rexinoid/retinoid pool of products, LGND obtained rights to 100s? of promising compounds. I suspect that LLY's support allowed more promising candidates to be developed, and they are at the pre-clinical stage.

The major milestones from the LLY deal were focused on the initiation of clinical trials in the US for type II diabetes. Today's press release suggests that pre-clinical development of the second generation compounds are proceeding VERY rapidly, since the press releases mentions potential milestone payments this year, which I assume means the start of clinical trials for diabetes.
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