Ligand signs license agreement with Roivant Sciences

Ligand Pharmaceuticals signed a license agreement extending Roivant sciences exclusive global rights to develop and commercialize LGD-6972, ligand’s glucagon receptor antagonist.

As per the terms of the agreement , Ligand will receive upfront license fees, and is eligible to receive clinical and regulatory milestone payments as well as sales-based milestone payments and royalties. Roivant will be responsible for all costs related to the program, effective immediately.

LGD-6972 is a novel, potent, oral, small-molecule GRA. In September 2017 Ligand announced positive topline results from a Phase 2 clinical study evaluating the efficacy and safety of LGD-6972 as an adjunct to diet and exercise in patients with type 2 diabetes mellitus (T2DM) inadequately controlled on metformin monotherapy.

John Higgins, Chief Executive Officer, Ligand Pharmaceuticals said “Roivant is well capitalized and they are assembling an experienced team at Metavant to efficiently drive the program forward. This is a major partnership that has the potential to generate substantial medical value for both type 1 and type 2 diabetes patients. If LGD-6972 is successfully developed, this license with Roivant has the potential to be Ligand’s largest financial asset with the possibility of annual royalties into the late 2030s given current and pending IP.”