UNITED
STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT
REPORT
Pursuant
to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):
December 19, 2008
PHARMACOPEIA,
INC.
(Exact name of registrant as specified in its charter)
Delaware
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0-50523
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51-0418085
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(State or other jurisdiction of
incorporation or organization)
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(Commission
File Number)
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(I.R.S. Employer
Identification No.)
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PO Box 5350, Princeton, New Jersey
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08543-5350
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(Address of principal executive offices)
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(Zip Code)
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(609) 452-3600
(Registrants telephone number, including area code)
Not Applicable
(Former name, former address and former fiscal year, if changed since
last report)
Check the appropriate box
below if the Form 8-K filing is intended to simultaneously satisfy the
filing obligation of the registrant under any of the following provisions:
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Written communications
pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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Soliciting material
pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17
CFR 240.14d-2(b))
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Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17
CFR 240.13e-4(c))
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Item 1.01
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Entry
into a Material Definitive Agreement.
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The information set forth
under Item 5.01 regarding the CVR Agreement (as defined below) is incorporated
herein by reference.
Item 2.05
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Costs
Associated with Exit or Disposal Activities.
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On
December 19, 2008, Pharmacopeia, Inc. (the Company) reduced its
workforce by approximately 28 percent through termination of positions. The Company notified the 22 affected
employees of their termination dates, all of which will be as of January 2,
2009. Substantially all of the severance
cost is expected to result in future cash expenditures.
Item 3.03
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Material
Modification to Rights of Security Holders.
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The information set forth
under Item 5.01 is incorporated herein by reference.
Item 5.01
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Changes
in Control of Registrant.
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On December 23, 2008,
Ligand Pharmaceuticals Incorporated (Ligand) completed its acquisition of the
Company through the merger of Margaux Acquisition Corp., a wholly owned
subsidiary of Ligand (Merger Sub 1), with and into the Company.
Pursuant to the Agreement
and Plan of Merger, dated as of September 24, 2008 (the Merger Agreement),
by and among Ligand, Merger Sub 1, Latour Acquisition, LLC, a wholly owned
subsidiary of Ligand (Merger Sub 2), and the Company, Merger Sub 1 merged
with and into the Company, with the Company continuing as the surviving
corporation (the Intermediate Surviving Corporation), and immediately
thereafter, the Intermediate Surviving Corporation merged with and into Merger
Sub 2, with Merger Sub 2 continuing as the surviving entity (collectively, the Merger). As a result of the Merger, the Companys
common stock is no longer publicly traded.
Under the terms of the
Merger Agreement, each share of the Companys common stock issued and
outstanding immediately prior to the effective time of the Merger (other than
any dissenting shares) was converted into the right to receive 0.5985 of a
share of Ligand common stock and $0.31 in cash, without interest, plus cash in
lieu of any fractional share of Ligand common stock. In addition, the Companys stockholders will
receive one contingent value right (CVR) for each share of the Companys
common stock held by such stockholder immediately prior to the effective time
of the Merger, which rights are subject to the terms and conditions of the CVR
Agreement (as defined below).
In connection with the
closing of the Merger, the Company, Ligand and Mellon Investor Services LLC, as
rights agent, entered into a Contingent Value Rights Agreement (the CVR
Agreement) on December 23, 2008. The CVR Agreement sets forth the rights
that former Company stockholders will have with respect to each CVR they will
receive as a result of the Merger. The CVR Agreement provides for the payment
of an aggregate of $15 million in cash payable to the holders of the CVRs if,
on or prior to December 31, 2011, Ligand enters into a license or sale
agreement related to DARA (as defined in the CVR Agreement) or any other
agreement for the development, marketing or sale of DARA, or any option to
enter into such an agreement, with any party other than Bristol-Myers Squibb
Company or any of its affiliates. The
preceding summary of the material terms of the CVR Agreement does not purport
to be complete and is qualified in its entirety by reference to the CVR
Agreement, a copy of which is attached hereto as Exhibit 10.1 and is
incorporated herein by reference.
Item 5.02
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Departure
of Directors or Certain Officers; Election of Directors; Appointment of
Certain Officers; Compensatory Arrangements of Certain Officers.
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(b)
Pursuant to the Merger
Agreement, each of the members of the Companys board of directors, Joseph A.
Mollica, Carol A. Ammon, Frank Baldino, Paul A. Bartlett, Steven J. Burakoff, Dennis
H. Langer, Bruce A. Peacock and Martin H. Soeters, resigned on December 23,
2008 as of the effective time of the Merger.
In addition, Joseph A. Mollica, Brian M. Posner and Stephen C. Costalas
were each terminated from their positions as executive officers of the Company
effective on the closing date of the Merger, December 23, 2008.
On December 23, 2008,
the Company held a special meeting of its stockholders. At the meeting, the stockholders of the
Company approved and adopted the Merger Agreement, with approximately 71.3
percent of the shares of the Companys common stock being voted in favor of
adoption of the Merger Agreement.
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