Lexicon Pharmaceuticals Announces Strategic Repositioning to Drive Value and Growth of Commercial Portfolio
Lexicon Pharmaceuticals announces strategic repositioning to optimize its commercial portfolio and drive growth. The company will focus on targeted promotion of INPEFA® for heart failure while preparing for the potential launch of ZYNQUISTA™ for type 1 diabetes with chronic kidney disease. This restructuring is expected to reduce 2025 operating costs by $40 million.
Key actions include:
- Reducing headcount by over 75 (50% of field force) by Q3 2024
- Targeted promotion of INPEFA® in heart failure
- Investment in ZYNQUISTA™ launch preparation
- Continued funding for R&D programs, including Phase 3 study of sotagliflozin in hypertrophic cardiomyopathy and Phase 2b study of LX9211 in diabetic neuropathic pain
The company aims to create efficiencies while maintaining focus on high-impact opportunities for patients and shareholders.
Lexicon Pharmaceuticals annuncia un riposizionamento strategico per ottimizzare il suo portafoglio commerciale e stimolare la crescita. L'azienda si concentrerà sulla promozione mirata di INPEFA® per l'insufficienza cardiaca, mentre si prepara per il potenziale lancio di ZYNQUISTA™ per il diabete di tipo 1 con malattia renale cronica. Questa ristrutturazione dovrebbe ridurre i costi operativi del 2025 di 40 milioni di dollari.
Le azioni chiave includono:
- Riduzione del personale di oltre 75 unità (il 50% della forza vendita) entro il terzo trimestre del 2024
- Promozione mirata di INPEFA® nell'insufficienza cardiaca
- Investimento nella preparazione al lancio di ZYNQUISTA™
- Continuazione del finanziamento per i programmi di R&S, inclusa lo studio di fase 3 di sotagliflozin nella cardiomiopatia ipertrofica e lo studio di fase 2b di LX9211 nel dolore neuropatico diabetico
L'azienda punta a creare efficienze mantenendo il focus sulle opportunità ad alto impatto per i pazienti e gli azionisti.
Lexicon Pharmaceuticals anuncia un reposicionamiento estratégico para optimizar su cartera comercial y fomentar el crecimiento. La empresa se centrará en la promoción específica de INPEFA® para la insuficiencia cardíaca, mientras se prepara para el posible lanzamiento de ZYNQUISTA™ para la diabetes tipo 1 con enfermedad renal crónica. Se espera que esta reestructuración reduzca los costos operativos de 2025 en $40 millones.
Las acciones clave incluyen:
- Reducción de personal en más de 75 personas (50% de la fuerza de ventas) para el tercer trimestre de 2024
- Promoción específica de INPEFA® en la insuficiencia cardíaca
- Inversión en la preparación del lanzamiento de ZYNQUISTA™
- Continuación de la financiación de programas de I+D, incluido el estudio de fase 3 de sotagliflozina en cardiomiopatía hipertrófica y el estudio de fase 2b de LX9211 en dolor neuropático diabético
La empresa tiene como objetivo crear eficiencias manteniendo el enfoque en oportunidades de alto impacto para pacientes y accionistas.
Lexicon Pharmaceuticals는 상업 포트폴리오 최적화 및 성장을 촉진하기 위한 전략적 재편성을 발표했습니다. 회사는 심부전 치료를 위한 INPEFA®의 목표 마케팅에 집중하며, 만성 신장 질환이 동반된 제1형 당뇨병을 위한 ZYNQUISTA™의 잠재적 출시 준비를 하고 있습니다. 이번 구조 조정은 2025년 운영 비용을 4천만 달러 줄일 것으로 예상됩니다.
주요 조치에는 다음이 포함됩니다:
- 2024년 3분기까지 75명 이상 (필드 인력의 50%)의 인원 감축
- 심부전에서 INPEFA®의 목표 마케팅
- ZYNQUISTA™ 런칭 준비에 대한 투자
- 고형심근병증에서의 소타글리플로진의 3상 연구 및 당뇨병 신경병증 통증에서 LX9211의 2b상 연구를 포함한 R&D 프로그램의 지속적인 자금 지원
회사는 환자와 주주에게 높은 영향을 미치는 기회에 집중하면서 효율성을 창출하는 것을 목표로 합니다.
Lexicon Pharmaceuticals annonce un repositionnement stratégique afin d'optimiser son portefeuille commercial et de stimuler la croissance. L'entreprise se concentrera sur la promotion ciblée de INPEFA® pour l'insuffisance cardiaque tout en se préparant au lancement potentiel de ZYNQUISTA™ pour le diabète de type 1 avec maladie rénale chronique. Cette restructuration devrait réduire les coûts opérationnels de 2025 de 40 millions de dollars.
Les actions clés comprennent :
- Réduction des effectifs de plus de 75 personnes (50% de la force de vente) d'ici le troisième trimestre 2024
- Promotion ciblée de INPEFA® dans l'insuffisance cardiaque
- Investissement dans la préparation au lancement de ZYNQUISTA™
- Maintien du financement pour les programmes de R&D, y compris l'étude de phase 3 de sotagliflozine dans la cardiomyopathie hypertrophique et l'étude de phase 2b de LX9211 dans la douleur neuropathique diabétique
L'entreprise vise à créer des efficacités tout en conservant un focus sur les opportunités à fort impact pour les patients et les actionnaires.
Lexicon Pharmaceuticals kündigt eine strategische Neuausrichtung an, um sein kommerzielles Portfolio zu optimieren und das Wachstum anzukurbeln. Das Unternehmen wird sich auf die gezielte Förderung von INPEFA® bei Herzinsuffizienz konzentrieren, während es sich auf die potenzielle Markteinführung von ZYNQUISTA™ für Typ-1-Diabetes mit chronischer Nierenerkrankung vorbereitet. Diese Umstrukturierung wird voraussichtlich die Betriebskosten im Jahr 2025 um 40 Millionen US-Dollar senken.
Wesentliche Maßnahmen umfassen:
- Reduzierung der Mitarbeiterzahl um über 75 (50 % der Außendienstmitarbeiter) bis zum dritten Quartal 2024
- Gezielte Förderung von INPEFA® bei Herzinsuffizienz
- Investitionen in die Vorbereitung auf die Markteinführung von ZYNQUISTA™
- Fortsetzung der Finanzierung von F&E-Programmen, einschließlich der Phase-3-Studie von Sotagliflozin bei hypertropher Kardiomyopathie und der Phase-2b-Studie von LX9211 bei diabetischer Neuropathie
Das Unternehmen zielt darauf ab, Effizienz zu schaffen, während es den Fokus auf Chancen mit hohem Einfluss für Patienten und Aktionäre beibehält.
- Expected cost savings of $40 million for 2025
- Continued funding for key R&D programs, including Phase 3 and Phase 2b studies
- Potential launch of ZYNQUISTA™ for type 1 diabetes with chronic kidney disease
- Targeted promotion strategy for INPEFA® in heart failure
- Reduction of headcount by over 75 employees (50% of field force)
- Scaling back promotional efforts for INPEFA®
Insights
Lexicon's strategic repositioning is a significant move aimed at improving financial efficiency and focusing on high-potential products. The planned $40 million cost reduction for 2025 is substantial, potentially improving the company's bottom line. However, the
The shift towards ZYNQUISTA™ for type 1 diabetes and CKD represents a strategic bet on a new market opportunity. This move could diversify revenue streams but also carries execution risks. Investors should closely monitor the launch progress and initial sales figures of ZYNQUISTA™ to gauge its market potential.
While the cost-cutting measures are positive for near-term profitability, the long-term growth trajectory will depend on the success of the repositioned portfolio and pipeline developments. The continued investment in R&D, particularly the Phase 3 study in HCM and Phase 2b study of LX9211, maintains potential for future value creation.
Lexicon's decision to refocus on ZYNQUISTA™ for type 1 diabetes with CKD is intriguing from a medical perspective. This population represents a significant unmet need, as managing glycemic control in patients with both conditions is challenging. The potential approval could position Lexicon as a leader in this niche market.
The continued investment in the pivotal Phase 3 study of sotagliflozin in hypertrophic cardiomyopathy (HCM) is noteworthy. HCM is a complex cardiac condition with treatment options and if successful, this could significantly expand sotagliflozin's market potential beyond heart failure and diabetes.
The ongoing Phase 2b study of LX9211 in diabetic neuropathic pain is another area to watch. With data expected in H1 2025, this could provide a near-term catalyst for the company's pipeline. Overall, Lexicon's R&D focus appears well-balanced between near-term opportunities and long-term growth prospects.
Company to Focus on Targeted Promotion of INPEFA® in Heart Failure While Prioritizing Investment in the Potential Launch of ZYNQUISTA™
Efforts Expected to Reduce 2025 Operating Costs by
THE WOODLANDS, Texas, Aug. 13, 2024 (GLOBE NEWSWIRE) -- Lexicon Pharmaceuticals, Inc. (Nasdaq: LXRX), today announced that, following a strategic review of its commercial and pipeline programs, it will refocus resources across the portfolio in support of opportunities where the company believes it can have the greatest impact on patients. As a result, the company will optimize its promotional efforts for INPEFA® (sotagliflozin) in heart failure and reallocate resources to effectively support the potential commercial launch of ZYNQUISTA™ (sotagliflozin) for improvement of glycemic control in adults with type 1 diabetes and chronic kidney disease (CKD). These efforts are designed to create efficiencies in the company's commercial efforts to promote both INPEFA® and ZYNQUISTA™. The company expects these efforts to result in cost savings of approximately
“Lexicon entered 2024 with a number of exciting commercial and pipeline opportunities,” said Dr. Mike Exton, chief executive officer and director. “Over the past few weeks, we have been working on a plan to allocate resources across these opportunities, build on the successes of our capable commercial team and focus on where we have the potential to lead and succeed. As a result, we have made the decision to right-size our promotional efforts around INPEFA for heart failure and reallocate resources to prepare for our potential launch of ZYNQUISTA™. We strongly believe in the value INPEFA offers patients, and we will continue to drive growth in heart failure with a targeted approach. We remain committed to the cardiovascular community as we also pursue an additional indication for sotagliflozin in HCM. This renewed approach will allow us to drive value and growth for Lexicon and focus on opportunities where we can have the most impact for patients.”
In alignment with this reprioritization of resources, the company is planning the following actions with the objective of reducing operational expenses and ensuring the company is right-sized for future opportunities:
- Reduction of headcount by more than 75, or approximately
50% of its current field force, by the end of the third quarter of 2024. - Targeted continuing promotion for INPEFA in heart failure dedicated to growth and expanding market access.
- Proper investment in the potential launch of ZYNQUISTA™ for improvement of glycemic control in adults with type 1 diabetes and CKD.
- Fully investing in our R&D programs including the recently-initiated pivotal Phase 3 study of sotagliflozin in HCM, the ongoing Phase 2b dose optimization study of LX9211 in diabetic neuropathic pain with data expected in the first half of 2025, and IND-enabling studies of LX9851 for obesity and weight management.
About Lexicon Pharmaceuticals
Lexicon is a biopharmaceutical company with a mission of pioneering medicines that transform patients’ lives. Through the Genome5000™ program, Lexicon’s unique genomics target discovery platform, Lexicon scientists studied the role and function of nearly 5,000 genes and identified more than 100 protein targets with significant therapeutic potential in a range of diseases. Through the precise targeting of these proteins, Lexicon is pioneering the discovery and development of innovative medicines to treat disease safely and effectively. Lexicon has commercially launched one of these medicines, INPEFA® (sotagliflozin) in the United States, and has a pipeline of other promising drug candidates in discovery and clinical and preclinical development in neuropathic pain, diabetes and metabolism and other indications. For additional information, please visit www.lexpharma.com.
Safe Harbor Statement
This press release contains “forward-looking statements,” including statements relating to Lexicon’s financial position and long-term outlook on its business, growth and future operating results, discovery, development and commercialization of products, strategic alliances and intellectual property, as well as other matters that are not historical facts or information. All forward-looking statements are based on management’s current assumptions and expectations and involve risks, uncertainties and other important factors, specifically including Lexicon’s ability to meet its capital requirements, successfully commercialize its approved products, conduct preclinical and clinical development and obtain necessary regulatory approvals of sotagliflozin, LX9211, LX9851 and its other drug candidates on its anticipated timelines, achieve its operational objectives, obtain patent protection for its discoveries and establish strategic alliances, as well as additional factors relating to manufacturing, intellectual property rights, and the therapeutic or commercial value of its drug candidates. Any of these risks, uncertainties and other factors may cause Lexicon’s actual results to be materially different from any future results expressed or implied by such forward-looking statements. Information identifying such important factors is contained under “Risk Factors” in Lexicon’s annual report on Form 10-K for the year ended December 31, 2023, and other subsequent disclosure documents filed with the Securities and Exchange Commission. Lexicon undertakes no obligation to update or revise any such forward-looking statements, whether as a result of new information, future events or otherwise.
For Media and Investor Inquiries:
Lisa DeFrancesco
Lexicon Pharmaceuticals, Inc.
lexinvest@lexpharma.com
FAQ
What is Lexicon Pharmaceuticals' new strategy for INPEFA® (LXRX)?
How much does Lexicon Pharmaceuticals (LXRX) expect to save in operating costs for 2025?
What is the status of ZYNQUISTA™ development by Lexicon Pharmaceuticals (LXRX)?
How many employees will be affected by Lexicon Pharmaceuticals' (LXRX) restructuring in 2024?
