(RTTNews) - Lexicon Pharmaceuticals, Inc. (LXRX), a biopharmaceutical company, on Monday announced that it has gained a third $10 million milestone payment from Novo Nordisk following the achievement of a key Phase 1 patient dosing milestone for LX9851.
LX9851 is an investigational, oral, non-incretin small-molecule that selectively inhibits ACSL5, a target involved in fat accumulation and energy balance. The drug candidate is being evaluated for obesity and associated metabolic disorders.
Preclinical in-vivo data showed that LX9851, when combined with semaglutide, reduced weight, food intake, and fat mass compared to semaglutide alone. Additionally, LX9851 also mitigated weight regain and demonstrated positive effects on liver steatosis when administered after semaglutide discontinuation.
Under a March 2025 exclusive license agreement, Novo Nordisk received worldwide rights to develop, manufacture and commercialize LX9851 in all indications.
Per the terms of the agreement, Lexicon remains eligible to receive up to $75 million in upfront and near-term milestone payments, in addition to $1 billion in upfront and development, regulatory and sales milestone payments, plus tiered royalties on net sales.
The Phase 1 program for LX9851 was initiated by Novo Nordisk in March 2026 to evaluate the candidate's safety, tolerability, pharmacokinetics and pharmacodynamics in adults who are overweight or obese. The program is expected to be completed in the first quarter of 2027.
LXRX closed Monday's trade at $2.32, up 0.87%.