Ligand Pharmaceuticals Incorporated · NASDAQ:LGND
Ligand Pharmaceuticals — Merger or Acquisition (September 2009)
29 slides from Ligand Pharmaceuticals's merger presentation, Sep 10, 2009
Slide 1: John L. Higgins, President and Chief Executive Officer
Exhibit 99.1 John L. Higgins President and Chief Executive Officer Syed Kazmi, Ph.D. Business Development and Strategic Planning
Slide 2: Safe Harbor Statement
Safe Harbor Statement • The following presentation contains forward-looking statements regarding the proposed acquisition of Neurogen by Ligand, including projections regarding expectations for potential research and development payments, savings in operational costs, cash burn rates, timing of achi
Slide 3: Additional Information and Where to Find It
Additional Information and Where to Find It • Ligand intends to file with the SEC a Registration Statement on Form S-4, which will include a proxy statement of Neurogen and other relevant materials in connection with the proposed transaction. The proxy statement will be mailed to the stockholders of
Slide 4: Fundamentals of a Strong Biotech Company
Fundamentals of a Strong Biotech Company • Strong balance sheet • Spending discipline • Strong discovery capabilities and track record • Robust pipeline of partnerable assets • Revenue diversity Operating structure that has the potential to generate substantial cash flows and profitability 4
Slide 5: Ligand Company Overview
Ligand Company Overview • Company with great assets - Two royalty streams, plus two more royalty-bearing products recently approved - Ten pharma deals with over 21 development programs and over $600 million of potential milestones - Prolific drug discovery engine has produced multitudes of drug cand
Slide 6: Ligand – Recent events
Ligand – Recent events • Signed agreement to acquire Neurogen, public company with drug screening assets, cash, pipeline and a drug partnership • PROMACTA ® Phase I/II trial initiated with MDS • CONBRIZA™ approved in Europe for the treatment of osteoporosis • FABLYN® Approved in Europe for the treat
Slide 7: Pending Neurogen Acquisition
Pending Neurogen Acquisition Deal Ligand to acquire Neurogen (NRGN) Consideration Stock-for-Stock Acquisition Transaction Value $11 million in Ligand Common Stock, plus potential for Four Contingent Value Rights (CVR) CVRs - Net proceeds from sale of real estate - Net proceeds from sale of Aplindore
Slide 8: Opportunity with Neurogen Acquisition
Opportunity with Neurogen Acquisition • Acquire fully funded research partnership Merck VR1 program • Access pipeline assets Numerous opportunities including oral EPO and H3 antagonist • Leverage drug discovery capabilities of both companies Accelerated Intelligent Drug Design platform • Gain estima
Slide 9: Partnership Highlights
Partnership Highlights © LIGAND
Slide 10: Significant Value in Royalty Partnerships
Significant Value in Royalty Partnerships • Numerous deals with ten pharmaceutical companies • More than 21 different programs being pursued including the largest untapped markets Muscle wasting, COPD, thrombocytopenia, pain, asthma, Alzheimer’s • More than $600 million in potential R&D and mileston
Slide 11: Pharmaceutical Partnerships
Pharmaceutical Partnerships 11
Slide 12: Combined Product Pipeline
Combined Product Pipeline 12
Slide 13: Collaboration Highlights
Collaboration Highlights • PROMACTA approved for treatment of thrombocytopenia in patients with chronic & immune ITP in November 2008. • Two Phase III Hepatitis trials ongoing • Phase III trial in Chronic Liver Disease ongoing • Phase I/II MDS trial initiated Spring 2009 • Phase I Sarcoma trial ongo
Slide 14: 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 15: Medical Significance of Thrombocytopenia (US)
Medical Significance of Thrombocytopenia (US) (Estimated markets) Potential Treatable Patients ITP ~60,000 Hepatitis C ~120,000 Chronic Liver Disease ~400,000 Myelodysplastic syndrome ~20,000 Leukemia / lymphoma ~50,000 Chemotherapy induced thrombocytopenia ~140,000 Intensive care unit – acquired ~5
Slide 16: ParinGenix License
ParinGenix License • In June 2009, Ligand granted exclusive license rights to ParinGenix for three issued U.S. patents relating to certain desulfated heparin compounds • ParinGenix lead compound, PGX-100, is an intravenous formulation of 2-O, 3-O desulfated heparin which is in a Phase IIb trial for
Slide 17: SERM Collaborations
SERM Collaborations • Bazedoxifene Monotherapy: CONBRIZA approved in Europe in April 2009 Viviant pending approval in the U.S. • Bazedoxifene in Combination with Premarin CE (APRELA): Phase III data published in Fertility and Sterility NDA planned for in 2010 • Lasofoxifene (FABLYN) for osteoporosis
Slide 18: Collaboration Highlights: p38 Kinase Inhibitors
Collaboration Highlights p38 Kinase Inhibitors • Collaboration began in November 1997 • Partnership resulted in lead and back-up p38 kinase inhibitor compounds & • Anti-inflammatory therapeutics Ongoing Clinical Trials: • Phase II in rheumatoid arthritis • Phase II in psoriasis • Phase II in atheros
Slide 19: Collaboration Highlights: CXCR2 Program
Collaboration Highlights Chemokine Receptor CXCR2 Program • Collaboration began in October 1998 • Collaboration produced multiple drug & candidates Completed Clinical Trials: • Phase II in COPD • Phase II in asthma • Phase II in psoriasis The Opportunity: • Large, established target markets • If suc
Slide 20: Collaboration Highlights: Other Research Program
Collaboration Highlights Other Research Program Ongoing Clinical Trials: • Enzyme inhibitor in Phase II for oncology & • Candidate for inflammatory diseases in Phase I • Candidate for respiratory diseases in Phase I Recent Event: • BACE inhibitor for Alzheimer’s in development, resulting in a milest
Slide 21: Collaboration Highlights: Broad Discovery Program
Collaboration Highlights Broad Discovery Program • Collaboration began March 2006 • Identify and advance molecules in chosen & therapeutic programs to development stage Milestone and Royalty: • 7 compounds identified to date • Success-based milestone payments and up to double-digit royalties upon co
Slide 22: Collaboration Highlights: JAK-3 Kinase
Collaboration Highlights JAK-3 Kinase • Collaboration began in December 2006 & $3 million per year in research funding • Alliance based on development of JAK3 kinase inhibitors for systemic administration for immunological and inflammatory diseases • Success-based milestone payments and up to double
Slide 23: SARM Program Overview
23 SARM Program Overview © LIGAND
Slide 24: Selective Androgen Receptor Modulator Program
Selective Androgen Receptor Modulator Program • LGD-4033 is a selective androgen receptor modulator (SARM), designed to provide the benefits of androgen receptor stimulation on skeletal muscle and bone without the side effects of the currently marketed androgens • LGD-4033 has demonstrated increased
Slide 25: Research Engine
Research Engine © LIGAND
Slide 26: Ligand Research Platform
Ligand Research Platform • Technology - Gene reporter assays for nuclear receptors and JAK/STAT-coupled receptors - Ultra high-throughput screening platform combined with the world’s largest proprietary compound collection (5+ million compounds) • Highly flexible screening platform: cell-free and ce
Slide 27: Ligand Development & Partnerships
Ligand Development & Partnerships • Clinical strategy to run Phase I-II programs through proof-of-concept • 13 NDAs and MAAs submitted for Ligand discovered drugs • 5 approved products from Ligand technology: Targretin, Panretin, Promacta, Fablyn, Conbriza • Established track record for partnering w
Slide 28: Pro Forma Financial Forecast
Pro Forma Financial Forecast * Assumes Neurogen Acquisition closes in Q4 2009 • Projected to have approximately $50 million in cash at year-end 2009 • Given our current outlook on the combined businesses, 2010 pro forma operating business projected to be approximately cash-flow neutral with expenses
Slide 29: Potential Near-Term Milestone and Events
Potential Near-Term Milestone and Events Milestone or Event • PROMACTA data at ASH • PROMACTA EU NDA Action • SARM Phase I trial completion • Potential for over $10 million in milestone payments from existing collaborations • Completion of Schering Plough CXCR2 Trial in COPD • VIVIANT FDA Action • N
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