Lexicon Gets Drug Development Funds

Texas-based Lexicon Pharmaceuticals has received a sizable infusion of cash. Pending shareholder approval, the investment firm Invus will buy $205 million in Lexicon stock during 2007 and possibly another $345 million over the next four years. Invus' initial investment would give it a 40% stake. Meanwhile, Symphony Capital Partners will invest $60 million in exchange for Lexicon stock. Of this amount, $45 million goes to Symphony Icon, a newly created company that will own and advance Lexicon's first three drug candidates in the clinic. Lexicon has the right to acquire Symphony Icon at a future date.