Ligand Pharma Inc Roche Contingent Value Rights (LGNDZ)

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8:30AM Ligand Pharma to receive $2 mln milestone payment from Merck triggered by initiation of Phase 2b/3 trial of Dinaciclib; reaffirms FY12 rev guidance (Q3 lowered Q4 raised) (LGND) 15.63 : Co will receive a $2 million milestone payment from Merck (MRK), known as MSD outside the United States and Canada, under the terms of a development and license collaboration for the development of dinaciclib. This milestone payment is triggered by the initiation of a Phase 2b/3 adaptive clinical trial for dinaciclib for the treatment of patients with refractory chronic lymphocytic leukemia (CLL).

Affirming its previous revenue forecast, Ligand continues to expect full year 2012 total revenues to be ~$30 mln (consensus $30.7 mln), with revenue in the third quarter now projected to be ~$6 million, versus earlier guidance of ~$8 million (cons: $8.5 mln), and revenue in the fourth quarter now projected to be ~$13 million, versus earlier guidance of ~$11 million (cons: $10.8 mln).