Lexicon to buy out remaining obligations to Symphony Icon for $21.01M
Lexicon Pharmaceuticals has entered into an agreement to buy out its remaining obligations under its clinical development financing arrangement with Symphony Icon Holdings upon regulatory approval in the U.S. for the marketing and sale of telotristat ethyl. Under the buyout arrangement, Lexicon will make a single payment to Symphony Icon of $21.01M upon U.S. regulatory approval of telotristat ethyl. The buyout will replace and eliminate the remaining contingent payments of up to $29.550M for which Lexicon was obligated. The buyout payment may be payable in cash or a combination of cash and up to 50% in Lexicon common stock, at Lexicon's option. Telotristat ethyl has received Fast Track and Orphan Drug designation from the FDA and has been granted priority review by the FDA with a PDUFA target action date of February 28, 2017. Lexicon retains rights to market telotristat ethyl in the U.S. and Japan and has a license and collaboration agreement with Ipsen to commercialize telotristat ethyl in Europe and other countries outside the U.S. and Japan.