Lexicon bids farewell to top seller Xermelo in reorganization toward R&D pipeline

Three years ago, Lexicon Pharmaceuticals was flying high following the FDA approval and commercial launch of its Xermelo drug, which treats carcinoid syndrome diarrhea. But now the company is saying goodbye to its top seller as it pares down debt and reorganizes to focus on its R&D pipeline. In what CEO Lonnel Coats described as a “bittersweet” moment, Lexicon announced Thursday the sale of Xermelo to TerSera for $155 million in upfront payments and $4 million in existing inventory. Lexicon can receive an additional $65 million in milestone payments relating to biliary tract cancer and royalties on future Xermelo sales.