Lexicon, BMS Select Candidate in Pain Alliance

Lexicon Pharmaceuticals, Inc. and Bristol-Myers Squibb have selected a development candidate for neuropathic pain from their drug discovery and development alliance. The companies are proceeding with plans to progress the development candidate through IND-enabling studies in preparation for clinical trials. BMS has the first option to obtain exclusive development and commercialization rights upon the initiation of Phase I studies, subject to the payment of milestones and royalties to Lexicon.
 
“The selection of this very promising drug candidate for neuropathic pain marks the culmination of a long-standing and highly-productive collaborative effort between Lexicon and Bristol-Myers Squibb,” said Lonnel Coats, Lexicon’s president and chief executive officer. “We look forward to bringing innovation from this novel mechanism to patients in an area of high unmet need.”

The companies established a drug discovery alliance in December 2003 to discover, develop and commercialize small molecule drugs in the neuroscience field. As drugs resulting from the alliance enter clinical trials, BMS has the first option to assume full responsibility for development and commercialization. Lexicon received $86 million in upfront payments and research funding during the target discovery portion of the alliance, which expired in October 2009. Lexicon is also entitled to receive clinical and regulatory milestone payments of as much as $76 million for each drug developed by BMS, as well as royalties on sales.