LGND · 10-K filed 27 Feb 2026 · year to 31 Dec 2025

Ligand Pharmaceuticals

33 named things its latest annual report says its results depend on, each in the company's own words. 14 of them are also named by other companies we've read.

Read the filing on SEC.gov ↗

Customers

Recordati

concentrated in · 54%named as a risk

As of December 31, 2025, Recordati was the largest individual marketer and payor of our financial royalty assets, representing 54% of these assets.Market risk (Item 7A)

Also named by MRNA

Amgen

earns from · $35.5named as a risk

Any setback that may occur with respect to any of our partners’ products, and in particular Kyprolis, could significantly impair our operating results and/or reduce our revenue and the market price of our stock.Risk factors (Item 1A)

Travere Therapeutics

earns from · $32.0named as a risk

Under our license agreement with Travere, we are entitled to receive potential milestone payments, as well as a 9% royalty on worldwide sales.Business (Item 1)

Acrotech Biopharma

earns from · $5.9named as a risk

We receive a 20% royalty on global net sales of the Captisol-enabled melphalan product and revenue from Captisol material sales.Business (Item 1)

Baxter

earns from · $3.1named as a risk

In 2025, CyDex and Baxter filed suit against several related generic drug companies (PH Health Ltd., Par Health USA, Endo USA, Inc., Endo Operations Limited, and Endo, Inc.), asserting that their application to market a generic version of Nexterone infringed the Orange Book-listed patent.Business (Item 1)

Sanofi

earns from · less than 1%

We acquired a royalty of less than 1% on net sales of Tzield through our acquisition of Tolerance Therapeutics (“Tolerance”) in the fourth quarter of 2023.Business (Item 1)

Also named by ARWR, MRNA, REGN

Jazz Pharmaceuticals

earns from · $13.3

We are eligible to receive tiered low-single digit royalties based on worldwide net sales of Rylaze, Enrylaze and any products resulting from this collaboration.Business (Item 1)

Alvogen

earns from · $8.1

In accordance with our agreements with Alvogen, we are eligible to receive tiered gross profit sharing of between 25% and 40% of quarterly profit.Business (Item 1)

Serum Institute of India

earns from · $3.0

We are entitled to a low-single digit royalty on net product sales of Pneumosil.Business (Item 1)

Merck

earns fromnamed as a risk

A significant portion of our royalty revenue is based on sales of Kyprolis by Amgen, sales of Qarziba by Recordati, sales of Filspari by Travere, sales of Evomela by Acrotech Biopharma, sales of Teriparatide by Alvogen/Adalvo, sales of Vaxneuvance and Capvaxive by Merck, sales of Ohtuvayre by Verona Pharma, now a subsidiary of Merck, and sales of Rylaze by Jazz.Risk factors (Item 1A)

Also named by EXEL, MRNA

CASI Pharmaceuticals

earns fromnamed as a risk

In December 2024, Acrotech issued a termination process letter to CASI alleging the Company materially breached the license agreement and failed to cure such breach, thus terminating the license agreement.Business (Item 1)

Suppliers

Hovione

depends onnamed as a risk

If Hovione were to cease to be able, for any reason, to supply Captisol to us in the amounts we require, or decline to supply Captisol to us, we would be required to seek an alternative source, which could potentially take a considerable length of time and impact our revenue and customer relationships.Risk factors (Item 1A)

Partners and platforms

Pelthos Therapeutics

approximately 48%named as a risk

As a result, we remain exposed to the operational, financial, legal, regulatory, and market risks associated with Pelthos.Risk factors (Item 1A)

Castle Creek Biosciences

$50 million

Under the terms of the agreement, we have invested $50 million in exchange for a mid-single digit royalty on worldwide sales of D-Fi and a portion of a future milestone payment upon D-Fi achieving FDA approval.Business (Item 1)

Orchestra BioMed

$25 million

On July 31, 2025, we invested $25 million in strategic capital to fund Orchestra BioMed Holdings, Inc.'s (“Orchestra” or “Orchestra Biomed”) late-stage partnered cardiology programs, consisting of a $20 million cash payment paid at closing and an additional $5 million to purchase shares of Orchestra’s common stock in an equity private placement at the price of $2.75 per share (the price of Orchestra’s common stock at its last public offering).Business (Item 1)

Other companies

Citibank, N.A.

depends on · $125 millionnamed as a risk

On July 8, 2024, we entered into the first amendment (the “Amendment”) to the Credit Agreement, which amends the Credit Agreement to increase the aggregate revolving credit facility amount from $75 million to $125 million.Risk factors (Item 1A)

Also named by APG, DDS, M, XYL

Viking Therapeutics

exposed to its price · $35.2 millionnamed as a risk

At December 31, 2025, our investment portfolio included investments in available-for-sale securities of $558.6 million, including the investment in Viking common stock of $35.2 million.Market risk (Item 7A)

Primrose Bio

31.5%

The Pelican Expression Technology platform is owned and operated by Primrose Bio, in which Ligand held a 31.5% equity interest as of December 31, 2025.Business (Item 1)

Nuance Pharma

named as a risk

Nuance Pharma has disputed the buy-back notice and requested that it be withdrawn.Business (Item 1)

Competitors

Teva

competes withnamed as a risk

The entry of generic competition for Evomela may materially and adversely affect the revenue we derive from Evomela sales.Risk factors (Item 1A)

Also named by EXEL

Breckenridge Pharmaceuticals

competes withnamed as a risk

Also, Amgen previously settled patent litigation related to Kyprolis on confidential terms with several parties, but it was publicly reported that the U.S. launch date for at least Breckenridge Pharmaceuticals’ applicable generic product will be “on a date that is held as confidential in 2027 or sooner, depending on certain occurrences.”Risk factors (Item 1A)

Gland Pharma Limited

competes withnamed as a risk

In 2025, CyDex and Acrotech filed suit against a generic drug company (Gland Pharma Limited) asserting that its application to market a generic version of Evomela infringed three of the Orange Book-listed patents.Business (Item 1)

Places

Russia

subject tonamed as a risk

These actions could result in abandonment or lapse of our or our license partners’ patents or patent applications, resulting in partial or complete loss of patent rights in Russia.Risk factors (Item 1A)

Also named by ALSN, ATR, AVY, AXP, BKR, BSX, C, CDNA and 50 more

Ireland

concentrated innamed as a risk

Manufacturing operations for Captisol are performed primarily at Hovione’s Portugal and Ireland facilities.Business (Item 1)

Also named by AAPL, ACN, ADI, AGX, BEN, CDNS, CELH, COR and 13 more

Portugal

concentrated innamed as a risk

We obtain Captisol from Hovione, our third-party manufacturer, primarily at their facilities in Ireland and Portugal.Risk factors (Item 1A)

Also named by WOR

Commodities and inputs

Euro

exposed to its price · €159named as a risk

Also, we generate Qarziba royalty revenue and incur operating expenses at our non-U.S. locations in the local currency for such locations.Market risk (Item 7A)

Also named by ABBV, ABNB, ABT, ADBE, ADI, AME, AMG, AMGN and 186 more

Regulators

U.S. Food and Drug Administration (FDA)

subject tonamed as a risk

If funding for the FDA is reduced or if the FDA workforce is reduced, these factors could significantly impact the ability of the FDA to timely review and process our or our partners’ regulatory submissions, which may have a material adverse effect on review times or other processing functions.Risk factors (Item 1A)

Also named by A, ABBV, ABT, AMGN, ARE, ARWR, ATR, AXGN and 112 more

Laws and programs

Medicare

subject tonamed as a risk

Any reduction in reimbursement from Medicare or other government programs may result in a similar reduction in payments from private payors.Risk factors (Item 1A)

Also named by ABT, ARWR, AXGN, BAX, BDX, BMY, BSX, CAH and 48 more

Inflation Reduction Act of 2022

subject tonamed as a risk

Among other things, the IRA requires manufacturers of certain drugs to engage in price negotiations with Medicare (beginning in 2026), with prices that can be negotiated subject to a cap; imposes rebates under Medicare Part B and Medicare Part D to penalize price increases that outpace inflation (first due in 2023); and replaces the Part D coverage gap discount program with a new discounting program (beginning in 2025).Risk factors (Item 1A)

Also named by ABBV, APD, ARE, BKH, DD, DHR, ELV, ENPH and 30 more

U.S. Investment Company Act of 1940

subject tonamed as a risk

If the SEC or its staff in the future adopts an interpretation that royalty interests are not treated as ICA Exception Qualifying Assets for purposes of Section 3(c)(5)(A) and Section 3(c)(6), our business will be materially and adversely affected.Risk factors (Item 1A)

Also named by ABR, AMG, AMP, ARCC, ARES, BAM, BCSF, BEN and 28 more

Biologics Price Competition and Innovation Act of 2009

subject tonamed as a risk

If the biosimilar applicant successfully challenges the asserted patent claims it could result in the invalidation of, or render unenforceable, some or all of the relevant patent claims or result in a finding of non-infringement.Risk factors (Item 1A)

Also named by LLY

California Financing Law

subject tonamed as a risk

If a regulator were to take the position that such loans were covered by the California Financing Law, we could be subject to regulatory action that could impair our ability to continue to operate and may have a material adverse effect on our profitability and business as we currently do not hold a CFL finance lenders license.Risk factors (Item 1A)

Technology

Captisol

earns from · approximately half of our royalty revenuesnamed as a risk

Revenues from sales of Captisol material to our collaboration partners, including Amgen, represent approximately half of our royalty revenues.Risk factors (Item 1A)