Lexicon Pharmaceuticals, Inc. (LXRX) Special Call June 25, 2012 10:00 a.m. ET Executives Wade Walke - Senior Director, Communications and Investor Relations Arthur Sands - President and Chief Executive Officer Brian Zambrowicz - Executive Vice President and Chief Scientific Officer Pablo Lapuerta - Senior Vice President of Clinical Development and Chief Medical Officer Jeff Wade - Executive Vice President and Chief Financial Officer Analysts Cory Kasimov - JPMorgan Alan Carr - Needham & Company Liana Moussatos - Wedbush Securities David Friedman - Morgan Stanley Kevin Kedra - Gabelli & Company Nicholas Bishop - Cowen and Company Presentation Operator
Before we begin, I would like to state that we will be making forward-looking statements, including statements relating to Lexicon’s research and development of LX4211 and the potential therapeutic and commercial potential of LX4211. This call may also contain forward-looking statements relating to Lexicon's future operating results, financing arrangements, cash and investments, discovery and development of products, strategic alliances, and intellectual property. Various risks may cause Lexicon’s actual results to differ materially from those expressed or implied in such forward-looking statements, including uncertainties related to the timing and results of clinical trials and preclinical studies of our drug candidates, our dependence upon strategic alliances and ability to enter into additional collaborations and license agreements, success and productivity of our drug discovery efforts, our ability to obtain patent protection for our discoveries, limitations imposed by patents owned or controlled by third parties, and the requirements of substantial funding to conduct our drug discovery and development activities. For a list and a description of the risks and uncertainties that we face, please see the reports we have filed with the Securities and Exchange Commission.I will now turn the call over to Dr. Sands. Arthur Sands Thank you, Wade, and I would like to welcome everyone to this call this morning to discuss the much anticipated results for LX4211 from the Phase 2b trial. I would like to say upfront that we are very pleased by the results that we have received recently from this trial. We are excited to discuss them this morning and at the end of the call we can talk about next steps. I would like to emphasize that these are top line results only. We have very recently received them. They have gone through our own internal top line statistical QC procedure, but we are only going to be focused on those results covered in the slide deck that we will be using today.
Before we dive into the results I would like to just say one word -- a couple of words on the context for clinical development strategy here that led to this trial. First of all we believe that diabetes drugs in general will need to demonstrate not only glycemic control and preferably superior glycemic control to other drugs that are available, but also they will have to show that they can provide metabolic benefits to patients on several parameters which we think will ultimately lead to improved -- reduced cardiovascular risk, which has been a big issue in the field.So our whole clinical development strategy is tuned to seeking those two types of results, glycemic control and metabolic benefits. The other thing I would like to say is that there is a great importance in combination therapy in diabetes treatment and so we have also been very tuned to setting LX4211 in appropriate combinations based on the way drugs are actually prescribed in diabetes today. And that was an important consideration for the design of this trial which is the background of metformin. Of course metformin is an established drug. It’s a drug that is widely prescribed and the largest I think market opportunity is to be second line, coming on top of metformin. And that again is why we designed the trial as we have for this Phase 2b step. Now we have seen LX4211 in a number of different trial settings and it has demonstrated itself to be, I would say, a very versatile drug and can be combined with other agents. I know that we shared earlier with you our combination trial with our DPP-4 inhibitor initial dosing trial which is also very encouraging. So this agent continues to look, again, I would say very versatile with regard to combinations. Read the rest of this transcript for free on seekingalpha.com