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) July 10, 2002

                           SALIX PHARMACEUTICALS, LTD.
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             (Exact name of registrant as specified in its charter)

                                    Delaware
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                 (State or other jurisdiction of incorporation)

           000-23265                                   94-3267443
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      (Commission file Number)                    (IRS Employer ID Number)

      8540 Colonnade Center Drive, Suite 501, Raleigh, North Carolina 27615
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(Address of principal executive offices)                           (Zip Code)

Registrant's telephone number, including area code   (919) 862-1000
                                                    ----------------------------



Item 5. Other Events and Regulation FD Disclosure

        Salix Pharmaceuticals, Ltd. issued a press release today announcing that
the Company has been incorporated into the Russell 2000(R)Index, effective July
1, 2002. A copy of this press release is attached as an exhibit.

Item 7. Financial Statements and Exhibits

(c)  Exhibits

       99.1  Press Release dated July 10, 2002



                                   SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

                                  SALIX PHARMACEUTICALS, LTD.


Date: July 10, 2002               By: /s/  Adam C. Derbyshire
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                                      Adam C. Derbyshire
                                      Vice President and Chief Financial Officer