Ligand Pharmaceuticals Incorporated · NASDAQ:LGND
Ligand Pharmaceuticals — Pharmacopeia — Merger or Acquisition (November 2008)
34 slides from Ligand Pharmaceuticals's merger presentation, Nov 3, 2008
Slide 1: The Oppenheimer 19th Annual Healthcare Conference
Filed by Ligand Pharmaceuticals Incorporated Pursuant to Rule 425 under the Securities Act of 1933 and deemed filed pursuant to Rule 14a-6 under the Securities Exchange Act of 1934, as amended Subject Company: Pharmacopeia, Inc. Commission File No: 0-50523 The Oppenheimer 19th Annual Healthcare Conf
Slide 2: Pharmacopeia: Discovering excellence, driving clinical success
Joseph A. Mollica, Chairman of the Board, Interim President & CEO TM Discovering excellence, driving clinical success
Slide 3: Forward-Looking Statements
Forward-Looking Statements This presentation, and oral statements made with respect to information contained in this presentation, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include those which exp
Slide 4: Pharmacopeia/Ligand Merger
Pharmacopeia/Ligand Merger • Merger announced on September 24, 2008 • Expected to close Q4 2008/January 2009 • Pharmacopeia shareholders benefit from any growth of combined company • Exciting combined portfolio with significant royalty potential • Premium over Pharmacopeia stock price, including fur
Slide 5: Combined Product Pipeline
Combined Product Pipeline Stage of Development Product Indication Partner Preclinical Phase I Phase II Phase III / NDA Marketed AVINZA ® Chronic pain King Pharmaceuticals PROMACTA™ ITP, Hep C, CLD, CIT GlaxoSmithKline VIVIANT™ / APRELA™ Osteoporosis Wyeth FABLYN® Osteoporosis Pfizer PS433540 DARA /
Slide 6: John L. Higgins, President & CEO, Ligand Pharmaceuticals
John L. Higgins, President & CEO Ligand Pharmaceuticals
Slide 7: Safe Harbor Statement
Safe Harbor Statement • The following presentation contains forward-looking statements regarding the proposed acquisition of Pharmacopeia by Ligand, including projections regarding expectations for potential research and development payments, savings in operational costs, cash burn rates, timing of
Slide 8: Additional Information and Where to Find It
Additional Information and Where to Find It • Ligand filed on October 20, 2008, the SEC a preliminary Registration Statement on Form S-4, which includes a proxy statement of Pharmacopeia and other relevant materials in connection with the proposed transaction. Once, finalized, the proxy statement wi
Slide 9: Why are we Acquiring Pharmacopeia?
Why are we Acquiring Pharmacopeia? • Royalty partnerships • Drug discovery platform • Partnerable assets • Cash and tax assets 9
Slide 10: Vision for the Combined Companies
Vision for the Combined Companies • Consolidated operations with strong fundamentals Strong balance sheet Cost-efficient R&D business with spending discipline Robust product pipeline Diverse royalty partnerships with promising potential revenue and profits • Leverage highly successful drug discovery
Slide 11: Combined Revenue Sources
Combined Revenue Sources • AVINZA royalties • Potential royalties from three pending NDA’s and future registrations in expanded indications PROMACTA (GSK) FABLYN (Pfizer) VIVIANT (Wyeth) APRELA NDA submission expected in 2009 (Wyeth) • Milestone and Research Payments from existing Pharmacopeia partn
Slide 12: Significant Value in Royalty Partnerships
Significant Value in Royalty Partnerships • Numerous deals with nine pharmaceutical companies • Over 15 programs in various stages of research and development in partnership portfolio • More than 20 different therapeutic indications being pursued including the largest untapped markets Muscle wasting
Slide 13: Ligand's Plan for DARA
Ligand’s Plan for DARA • Current 2009 plan Finish Phase IIb trial; spend minimal amount to complete study • Evaluate partnerability of DARA by focusing on: Quality of data Time and cost to develop drug and get it to market Patent extension options Terms of DARA agreement with BMS Interest level conv
Slide 14: Pro Forma Financial Forecast
Pro Forma Financial Forecast • Given our current outlook on the combined businesses, 2009 pro forma operating cash burn rate is expected to be $20 million • Potential for additional revenue and cash infusion from new license agreements • More than $350 million in potential Net Operating Loss carry-f
Slide 15: Strong Research Platforms
Strong Research Platforms • Highly complementary research technology • Transaction combines two successful discovery platforms and integrates strong biology and chemistry capabilities Ligand Pharmacopeia Screening Focused expertise: Broad approach similar to Big Pharma: -Cell-based assays -High-thro
Slide 16: Opportunities and Benefits to Shareholders
Opportunities and Benefits to Shareholders • Ligand shareholders gain access to: Numerous royalty partnerships Pipeline assets Drug discovery assets Cash and NOLs • Pharmacopeia shareholders will participate in: Lucrative potential near-term royalties Well capitalized company with no anticipated fin
Slide 17: Overview of Ligand's Partnerships
Overview of Ligand’s Partnerships 17
Slide 18: Major Collaborations
Major Collaborations • 1997 drug discovery collaboration resulted in eltrombopag (PROMACTA) – small molecule TPO mimetic • ITP: Numerous clinical studies tested, data & published in NEJM, NDA pending approval (16-0 panel vote in favor of drug) • Hepatitis C: Two Phase III trials were initiated in 4Q
Slide 19: Thrombocytopenia - Causes of Disease
Thrombocytopenia - Causes of Disease Thrombocytopenia is a condition in which there is an abnormally low level of platelets in the blood. • Decreased production of platelets Myelodysplastic syndrome Hepatitis C Cancer in the bone marrow (leukemia) Aplastic anemia • Increased destruction of platelets
Slide 20: Medical Significance of Thrombocytopenia (US)
Medical Significance of Thrombocytopenia (US) (Estimated markets) Potential Treatable Patients ITP ~100,000 Hepatitis C ~120,000 Myelodysplastic syndrome ~20,000 Leukemia / lymphoma ~50,000 Chemotherapy induced thrombocytopenia ~140,000 Intensive care unit – acquired ~500,000 Bone marrow transplants
Slide 21: Illustrative Cost for Blood-Related Treatments
Illustrative Cost for Blood-Related Treatments Annual Cost of Care Pharmaceuticals ~$15,000 (annual cost of care) Splenectomy $48,000 (procedure and medical management) Platelet Transfusion Single Course $4,000 Leukemia $84,000 (2 to 4 weeks daily) Bone Marrow Transplant $140,000 (4 to 6 weeks daily
Slide 22: SERM Collaborations
SERM Collaborations • Ligand has two partnerships around Selective Estrogen Receptor Modulators (SERMs): Wyeth Pfizer • SERMs bind with estrogen receptors in a tissue-specific manner: Exhibit estrogen action in some tissues and anti-estrogen action in other tissues Deliver benefits of estrogen in de
Slide 23: SERM Collaborations
SERM Collaborations • Bazedoxifene (VIVIANT) Monotherapy: Received third FDA approvable letter for osteoporosis in May 2008 & • Expects to file complete response with FDA by year-end Submitted NDA for osteoporosis treatment in 3Q:07 Submitted MAA for osteoporosis prevention & treatment in 3Q:07 • Ba
Slide 24: SERM Collaborations
SERM Collaborations • Lasofoxifene (FABLYN) for osteoporosis treatment • NDA pending approval; FDA Extended Review through January 2009 & • FDA Panel had positive vote (9-3) on September 8, 2008 that benefits could outweigh its risks, including blood clots and vaginal bleeding for the osteoporosis t
Slide 25: SARM
SARM Selective Androgen Receptor Modulators 25
Slide 26: SARM Program
SARM Program • Androgens (e.g. testosterone) are steroids that play key roles in bone, skeletal muscle and libido • Current androgenic drugs have disadvantages that significantly limit their use Non-selective stimulation of all androgen receptors Inconvenient formulations – injectable or topical Ava
Slide 27: SARMs Address a Major Unmet Need
SARMs Address a Major Unmet Need Epidemiology of Aging Healthy Elderly Approximately 1/3 of Older Adults Increased falls have low muscle mass and Increased risk of fractures low bone mineral density Elderly with Serious Disease BMD Muscle Mass Normal Level Ligand SARM Repletes Muscle and Bone Loss H
Slide 28: EPO Mimetic Program
EPO Mimetic Program © LIGAND
Slide 29: Oral EPO Mimetics Will Provide New Therapeutic Options to Patients
Oral EPO Mimetics Will Provide New Therapeutic Options to Patients • Research-stage program to discover non-peptide, small molecule oral agonists • Builds upon our recent success in discovering TPO mimetic drugs • Current recombinant EPO proteins and the EPO receptor synthetic peptides in developmen
Slide 30: TPO Mimetic Program
TPO Mimetic Program © LIGAND
Slide 31: Ligand TPO Mimetic Program
Ligand TPO Mimetic Program • The goal to develop best-in-class molecules to stimulate the production of platelets focused on: Potency Onset of action Safety Oral dosing flexibility • Ligand’s lead molecule, LGD-4665 has a promising efficacy and safety profile • Ligand is developing a robust library
Slide 32: LGD-4665 Summary
LGD-4665 Summary • LGD-4665 is approximately 10 times more potent than eltrombopag based on published data • The drug was safe and well tolerated in Phase I studies • The strong efficacy, good safety and long half-life may permit weekly dosing regimen • Conducting numerous pharmacology studies, to e
Slide 33: Combined Product Pipeline
Combined Product Pipeline Stage of Development Product Indication Partner Preclinical Phase I Phase II Phase III / NDA Marketed AVINZA ® Chronic pain King Pharmaceuticals PROMACTA™ ITP, Hep C, CLD, CIT GlaxoSmithKline VIVIANT™ / APRELA™ Osteoporosis Wyeth FABLYN® Osteoporosis Pfizer PS433540 DARA /
Slide 34: Near-Term Milestone and Events Calendar
Near-Term Milestone and Events Calendar Development and Regulatory Events Projected Timing PROMACTA FDA Action Anytime? Ligand SARM IND Submission 4Q 08 Phase II ITP Interim Data 4Q 08 Completion of SP CXCR2 Trial in COPD 4Q 08 VIVIANT FDA Action 1Q 09 FABLYN FDA Action 1Q 09 Phase IIb DARA 1Q 09 34