Earnings call transcript Q4 2022

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Operator

Greetings, and welcome to Avadel Pharmaceuticals Fourth Quarter and Full Year 2022 Earnings Call. [Operator Instructions] It is now my pleasure to introduce Austin Murtagh with Stern Investor Relations. Thank you.

You may begin.

Austin Murtagh

Good morning. joining XXXX our earnings. for discuss call you quarter fourth thank us conference on to And

within the As following of matters statements presentation reminder, XXXX. includes meaning a before several that we constitute Reform Securities Litigation Private begin, the the Act of forward-looking

regulatory Act to products forward-looking Except December in Forward-looking the results and stringent statements. information, include that uncertainties to obligation products year revise update objectives included These development or for no and the risks cause or subject subsequent XXXX, These XXXX, by milestones entry presentation March those SEC reflect may acceptance XX, undertakes XX-K statements in from are and regarding this public filings. uncertainties law, risks and described materially are statements otherwise. could stage contemplated Avadel fully to Exchange events in the achieve that or in and meet market to risks actual forward-looking not scientific the as any Form ended differ more or in impact and other required was Avadel’s such requirements, contained XX, of products of competitive pricing. filed which on future new the filings risks under

are Kim, Commercial Chief Officer; On Officer; Jennifer McHugh, Chief Affairs; Richard Financial Medical today Divis, Officer. the Gudeman, call of Executive and Greg Clinical Senior Vice and President Chief Tom

over the I’ll time, this call turn Greg. At to

Greg Divis

for and us review and to full XXXX you, quarter morning Thank thank a for our Austin. Good update company and results. joining everyone, fourth you year

year for it expect we be Avadel. as pivotal a proving is XXXX to

bring the narcolepsy pave as cataplexy of of for number and of with therapy, the recent to the completion adults LUMRYZ, that creation strategic have We multiple, our the investigational, executed sleepiness oxybate already a to in treatment for enter stages once-at-bedtime, excessive market. value significant the growth or final way daytime financings we milestones, on including

of oxybate to XX,XXX unmet and during meaningful billion the community XX-minute patients the an to most middle a patient market. eligible address awaken precise a to the window, of night strong LUMRYZ the estimated forcibly the opportunity oxybate, share Within commanding requires important the in uninterrupted which to XX,XXX need, opportunity $X.X have of sleep night patients billion once-at-bedtime while $X potential to to oxybate offers provide the

our I potential team a a commercial LUMRYZ. which of has put accomplished, the of and that final has am all us strong recently proud launch position ahead approval very in of

the raise, and of commercialization financing, of to XX-K RTW, includes XXXX significant total with The company’s Avadel yesterday, and the support with notes. the equity RTW us holder, to for supportive be royalty to and a exchange LUMRYZ announced our of potential million up necessary of royalty strategic flexibility living capital continues and series LUMRYZ in the largest LUMRYZ with the capital company committed our this with people date As and fully the April, a sheet equity an provides million progress the which additional balance been with financings convert launch financings, equity additional in and strengthening of to execution an sheet, of made financial the balance $XX raise and Investments. incredibly support from providing million clean has along resources narcolepsy. us $XXX LUMRYZ maturity total a of approximately new potential $XX.X ahead $XXX of a launch for convertible to provides with in million

a major to puts a our our deliver strong later transform to details and space. on and a further this execute important in financial us a these launch in state into on is call, provide player but completion the position to Avadel little of it will actions emphatically mission the Tom that financing in narcolepsy commercial organization priorities

to continued have who promise and in supported want during us and everyone, the especially this your I process investors, and and belief LUMRYZ. our of future all thank of Avadel

Turning we a FDA our REMS requesting after to approval. amendment on Orange FDA’s Circuit from three month earlier came the the that the in response Book the Court ruling This submitted the our regulatory was NDA LUMRYZ ordering district this XX, unanimous for zero front, to minor panel affirming progress delisting. of to Appeals shortly the final decision previous the to delisted February Patent States court of Federal United on

note Based actual information a months would or and X us as approval, appropriate. the be March May. continuing to final approximately minor control, to FDA timing date do requesting on recent committed guidance FDA share or could to however, the to Please our early decision when with timing learn specific, to certainly anything is accelerate suggest can we this. amendment we to more that interactions we remain submission we for all If will two our not try in around

term launch final preparing product been further provide final update focused potential have potential shortly a Richard four of a FDA approval in or us that final Importation join the about time With shorten With the building potentially puts potential recently launch the to for us We this, organization a decision and availability allowed to the import a position PLAIR has of to U.S. in on our for our announced weeks approval LUMRYZ. expect we thereafter, position decision into availability. This preparations LUMRYZ and a ahead will for a approved LUMRYZ. Activities to also Requests the in available shortly near on LUMRYZ Pre-Launch we be have to to in our approval. after and product us progress.

These expand Orange early Office. Patent And applications have exclusivity not the more recently patents the as patent granted XX. additional U.S. LUMRYZ, lastly of total a protection XX we patents least, XXXX U.S. patent with at for continue certainly and provide we Book-listable to been into current pending five U.S. many for

on data presentations. so that, today, over Jennifer with cover I our will to for scientific call the lot a have recent turn Jennifer? We details to

Jennifer Gudeman

and between And I Greg. morning. American the an for presenting last will us. It’s seven of briefly total We exciting Neurological out time closed two the highlight CHEST good meeting. the posters of posters. year Association by a Thanks,

treatment First, the top people among single patients, understand Clinic to XX Mayo narcolepsy increased a was top where the driver dose. XXX most XX And matched discrete oxybate important compared to study in The not cohort. and cardiovascular a a with second, a the choice of with comorbidities experiment disease. real-world XXX choice clinicians did include

if is clinical LUMRYZ study excitement is the will avoiding for dosing and middle-of-the-night clinical and or value Whether The data our see experienced congresses proposition unsolicited we KOL unmet approved. meetings, the consistently robust it understood. of team enthusiasm that LUMRYZ medical fulfill having, individual are well NFL of need

we data, that accepted abstract Regarding a better was supported the conducted which in submitted advances understand Community Circadian patient as with experience Community held to the of TREND late-breaking dose, February. to by were and benefit TREND eliminating these twice-nightly the Sleep meetings in research middle-of-the-night the oxybate. Science

group, dose will RESTORE highlight we when consistent data, their monthly. a missing that twice-nightly will of have that that a or TREND have patients new TREND narcolepsy this of with in on people presented which reported this our take who study said, third with with what that of least least switching potential living Further, once-nightly positive These therapy. Of learned Of XX% occurs second respondents Approximately patients second from few I from XX shared surveyed at injuries sample share impacts waking are the the dosing XX% to the via taken oxybate dose. one reported monthly. highlights, currently suffering group, at narcolepsy. XX% twice-nightly, therapy. happens previously have

System now World available FDA reporting Drugs Outcomes our additional from the published to which treatment Adverse show patients In second that inadvertently turn published or Let’s Real dose less safety events. after FAERS findings can with be serious of concerns January, their with the adverse X.X data regimens. Reporting Event - oxybate associated we taking of are the first, journal, in their than currently hours sodium reports

prompted It’s this consider what relevant research. to

this harrowing from the can experience oxybates time and taking when underscores. heard as twice again it publication have and We people it nightly a time be does, that happens

consistent that would if are is that recognized theme this patients reporting the don’t the the therapy FDA their accessible. event or that no other did well longer be The fearful adverse report REMS tip iceberg. of doctors, they is because It’s we they their hear to program the

healthcare share safety to ask it estimated Reporting and of both is Without and patients reported. concerns not providers, surprising. of concerns of other only about patients and XX% is adverse option, the potential any voluntary clinicians these safety about for that events are is reticence to

sample use XX% services. dosing reports risks of after than associated resulted the emergency in the well less XX% relevant, the it late. first are risk safety forward X.X serious among was is look We to this mitigate Yet, of hours CNS hospitalizations challenges with will another this the the believe with earlier as dose taking we too second option, overcoming depressants of advisable, taking and/or than treatment a missing providing of a as where

to Richard? launch. provide I commercial the turn will call for to an and update preparations on opportunity Richard Avadel’s now the over

Richard Kim

research why It’s allowed major activities. us that will support our narcolepsy and market impact to we that has Jennifer, pre-commercialization share everyone. to good a continues the market. additional morning, covered Thanks, progress have LUMRYZ great a finalize can believe some And Greg I in today,

our I’ll progress. launch In on further addition, readiness significant updates provide

[indiscernible] FDA, final rapidly the approaching product of With continue for the our to the to fairly, community. commercial narcolepsy progress and potential LUMRYZ LUMRYZ progressed have once-at-bedtime the [ph] in submission spring the availability, we amendment as to for imminent approval decision

past follow on market with working confirmed been this approval, timing window months potential few drug depending currently to post-approval. have final We’ve FDA recently potential available player. diligently over regard, was product we to granting in final to approval shorten and approximately this further weeks in expect the the our availability, four the In the

to REMS be network, when in services and both advance the progress will approval the we’ve our distribution product approval, a supply operational with will addition be in operational player center, fully our made and available. final which significant which of is Now, patient

with utilization. of included year, this we varying performed oxybate specialists research, Earlier market amounts which new sleep

few takeaways. key a Here’s

oxybate LUMRYZ profile the First, LUMRYZ when market shown product the specialists share. sleep give highest

share highest the LUMRYZ. majority is stated studies the with from this from this insights conducted, sleep market specialists. Supporting prescribe likely demand with sleep likely that specialists consistent were representing vast research have highly of receiving hundreds either overall they three or previous we horribly to Now of

over with expected This LUMRYZ LUMRYZ is of once-at-bedtime XX%. more the the consistent with usage being grow in of treated previous research eligible patients introduction introduction oxybate becoming narcolepsy is to least very oxybate time sleep therapy. by patients with specialty with at of and their Second, where

eligible oxybate third, are our Further, therapy. unable research patients currently choice previously oxybates as first for LUMRYZ utilization patients. become those nightly specialty as LUMRYZ twice to suggests sleep well oxybate from the for nightly twice on untreated taking And coming who switch stay will

our preferred can to from continue the make have impact from addressing the sleep narcolepsy with in the interest see that market. unmet We treatment that can the LUMRYZ people consistency the LUMRYZ research market specialists significant oxybate and growing narcolepsy for a in above need

expanded provide our against an execution our we update as launch I’ll plans. Now, our have the scope of readiness on efforts, significantly

First, for we of have packaged primary a daily significant its LUMRYZ in supply packets. amount commercial

fulfillment, actively have been our product their weeks. completed the For programming should center, and along patient REMS with and of teams the fully next hiring we ramping staffed services couple in up be have both

We’ve also signed our network. full pharmacy contracts with specialty

our at of the decision that lives. front, over commercially key insured makers GPOs meetings XX% the and team manage payer with has On PBMs several the

LUMRYZ delisting payers patent our to favorable around the conversation Federal REMS the LUMRYZ contracts this in With coverage and and for our accelerated submitted, and with be REMS, decision continues feedback the positive. have amendment Court, our

focusing also team building on an LUMRYZ. support We’ve exceptional to been

and field hired team them have the of majority team the to to in business majority next the facing sales weeks. roles of reimbursement made non-customer of for managers We and across our or our couple have territory start representatives offers the

have team, prioritized competitive well or people experience, disease rare as deliver For highly our sleep hiring target markets. base, previous experience prescriber we their experience, with our to as in with sales ability

lives us of our future from The And our focused colleagues must. providing our team to patients is is We and on on with joining being to new values on like and putting more of and our current team is excitement improve core narcolepsy. the calls. of look always ensure how forward team helpful. Avadel our first updates rest goal people everyone is Now, our energy course, a singularly to aligned to the

an And turn update with will Tom the financials. Tom? over that, for company’s call now the I to on

Tom McHugh

X-Ks I announcements. past Thank strategy full for financing the accomplished available note about the been several pleased we financial transactions are details executed our comments results we’ve and you, our goals. I’ll filed. that release months in recently with Richard. the start financing the we am the XX-K in I’ll to are recent and completed and financing two of critical report communicating that press that

of launch provides equity million anticipated our the a and the our offering. million priorities. committed for to of $XXX million the which the royalty One, sheet, financial launch in of $XX focus immediately secured from convertible and capital financing notes, Two, from flexibility balance on maturity $XXX funding of addressed we LUMRYZ available strengthen form capital

Our three of financing consists components. strategy major

First, this we to improves our significantly and or complete April the to exchange a of of sheet the significant extended balance long-term maturity moving and of million would’ve this been year notes, an and potentially flexibility. cash convertible out obligation eliminates use XXXX. a later $XX.X This debt financial importantly

The $XX Avadel be royalty tranches and certain following $XX of launch of LUMRYZ. Investments. available financial form the funding upon in two from financing expect $XX in the we meeting first capital will million regulatory committed secured we million tranche to milestones, the and be RTW a will available Second, million and of

choose RTW deliver terms favorable placed of and do such second covenants. million the the We us support The our funding so. upon sincerely security of of tranche LUMRYZ promises. This believe a is the royalty and lack should revenue strategy we at to and future value with financial in with our of to achieving as of rate a provides to appreciate option commitment Avadel they draw confidence we the available a milestone X.XX% component $XX of

generated participation of equity launch LUMRYZ. $XXX strategy support our shareholders proceeds our which speaks financing LUMRYZ. the of to the value This needed offering to raise, equity capital in the in gross significant their have million. immediate an potential of completed we component of fund Third, the confidence provides the demonstrated that they through The

that investors are placed ahead we of the stated, the in strategy have and in opportunity the lies previously financing [ph] their for our confidence LUMRYZ. with company As results pleased state’s the

note, million cash, XXXX. as final of and equivalents a marketable securities On we cash XX, reported of December $XX.X

detail secured to cash The refer a For the of XX-K financial morning maturity release us the the additional or a clean results, notes combination file the please yesterday. and on press of our on strong convertible extension earlier the XX-K we this with sheet. allowed XXXX hand, filed issued to capital balance

in over and year for stretch last resulted LUMRYZ. out addition actions put in with to company as cash, in we ready million launch a completed The of position closing we financing took we strong XXXX $XX that of get financial the the our anticipated

closing I’ll now for turn remarks. the to call back Greg

Greg Divis

Thank you, From today, organization. our are Tom. position we sit from operating a across strength we where of

mission, cusp a and for moment significant we growth meaningful impact the The recently opportunity have of which built for a patients clear company our toward the pivotal for our been and key are to significant sleep proposition to LUMRYZ, large. financings positive submitting and steps transition our including the specialists of community approach company including the has multiple make poised to achieved rapidly shareholders. by a commercial the at on we recognized of patients, stakeholders, with On NDA value narcolepsy milestones LUMRYZ executing strategic as a and amendment critical the along foundation

LUMRYZ excellent our to to With are organizational over an readiness the legal, past community. months team step in the perspective, our has the bring from regulatory, take we next to work and financial position narcolepsy few done a

to the to ready people lives transform promise are narcolepsy. the deliver LUMRYZ with We of the and on of market

we’ll call your look providing that, open And questions. forward for up updates our future thank with support. We you for to the on progress. We operator,

Operator

with from the [Operator of Instructions] Chris comes Our Howerton Jefferies. line first question

Chris Howerton

on would taking and from the questions just I in pricing be you of you’re kind LUMRYZ give of market financing updates. my offer two terms would the maybe expecting of bolus congratulations One there. little for then a could radar thing? LUMRYZ this much wanted guess, to all you have kind are or of, part to generic so just questions payers bolus patients nightly Maybe twice be launch be the at of on of you a Thank the oxybate of the or corollary a Great, their second do thanks. me. this And and discussions, should a us that one In anticipating strategy the is expecting a on on Great. you’re gradual discussion? color in a get those that use. to how launch considering of more more little of as pricing and kind

Greg Divis

– can you commentary Yes. thinking about certainly in pricing Chris. and and with I comment start can Richard, forecast. Thanks, then on how maybe the the we’re

Richard Kim

for thanks Chris. Hey, question, sure. Yes, the

value been overall essence, from as perspective. based with providers far I payers our win really the and proposition going patients, as with yes, strategy is parity draw has to we’re pricing with really a of our concerned, a on mean, more LUMRYZ win – So, in

we’ve for So in to that the the going our price oxybates. consistent very parody messaging in been our target LUMRYZ branded is range be with more

And It from as this we any AGs is far we stage. is like being far. seen payers at to of expansion. from branded feedback thus AG see all speak And are oxybate to coverage, the what the concerned, but general I the treated yes, twice chance the is definitely to is the to now, haven’t brand a a it had get we’ve it as movement a think like AG force movement beginning on

So be will that our in whole we’ve strategy built marketplace. the knowing AG the

it’s much positive been so far have is with that conversations line really fact in and payers very the plans really the our So really, here with our well. as

I’ll next then. you to Greg, and question the So pass

Greg Divis

Yes.

and specificity any – job early number like opportunity launches reimbursement is an into patient of product think We’ll all think it from launch. of the of we day be more think get services through to that and whatnot. But milestones the team happen how in certainly the relates that great a into the the we what launch, from from to has how of at looks of transition as a next the course and the approval we on through think leading I ordinary with that months guide securing end early to intend to about done things potential kind Chris, about as center think, talk to coverage market we I don’t to standpoint.

feedback we So community. the payer and we’re the be the capabilities progress necessary and those community, pleased community, to we’re the to patient all address putting getting with in physician and both able made things across we’re

Chris Howerton

that’s again, both. Okay. And awesome. Well, congratulations,

Greg Divis

Thanks, Chris.

Operator

line question with Capital. next Our comes from the Evertts Adam of LifeSci

Adam Evertts

morning congrats this Good and as strengthening as the Great. of on quarter great news all the balance well sheet.

I Richard So mean, wanted the place at assuming I force REMS maybe just product that in the be four I full like be me, commercial on also just will it clear will it that And will the sure be team, including sales in make place in be I’m certainly time of on early said sounds ready, to ask, May. what then approval, later. occurs by will think roughly approval by launch. available weeks remind the program or

Greg Divis

want Thanks, you comment do that? to Richard, on Yes. Adam.

Richard Kim

for Adam. question Yes. Thanks today. the Hey,

for program So, yes, done. we in – is staffed as REMS essence center hired as of services – REMS as distribution, – far patient fully is our as couple We’ll both within our our operational be next the REMS the and far weeks. perspective, we’re programming

should to approximately as your To is in four as had phase be weeks switch weeks team board and mentioned, a on available So as flipped that ready, approval here couple be after could coming final well. a our point, we’re just well. we supply first Greg

this. components our And ready go of couple weeks. able next we So key to yes, deliver to ready the to be of are all in so are

Adam Evertts

tranche regulatory milestone. Tom. side one Tom, that Fantastic. royalty mentioned triggered you a sales for a then the the second milestone And by or quick on was one

Tom McHugh

The second is $XX milestone. quarterly a on tranche revenue of million

Adam Evertts

Fantastic, thank you.

Operator

line Our of the with next question Brisebois Oppenheimer. comes from Francois

Unidentified Analyst

Hi, the our [indiscernible] on for this is taking all on thanks Franc. for questions. and Congrats progress

from quick a Just one me.

payer’s been payer wondering important the are of how just discussions coming studies these real a discussions, terms is payer doing? or up In in useful from in have this that perspective you terms world of Thanks. these reimbursement? And outcome

Greg Divis

go or…? to want you Richard,

Richard Kim

Yes.

Greg Divis

Sure.

Richard Kim

Yes. thanks Hey, questions. for Dan, the

think events on and clinical level that we’re great strengthening the the really value is next So overall thing regulatory the as the on, the here holistically, on recent well. proposition. the stepped I definitely – up And with is have to really good I come conversations has payer think really news around legal focusing engagement

I world has the been clinical So doing interested payers going and evidence. think mean, the presentations for, always are real team I the in

So well. think and up as do plan that published be continues more data more we come to of of on the sharing as those questions I

the towards has shifted LUMRYZ. been definitely lot proposition conversation So of the clinical overall, more a value

Unidentified Analyst

you just be REMS quick Great, thanks already I one, for a of it, just about talked to in believe the that. terms build And clear, out.

– point this that now on and already next the the the is technology So thing. staffing is infrastructure is completed at standpoint,

Greg Divis

In short, Dan, staffing ongoing is And correct. that exactly now.

within matter couple noted, goes this if just add, under a So of as you fully please your operational. Richard to comments have want a weeks know I be any Jen, do. you And will purview, that so

Jennifer Gudeman

You it perfectly. described

taking programming is right we’re complete. short away ready few and staffing just weeks The now, go. being from So is to a place

Unidentified Analyst

the the congrats Thanks for Awesome. updates on year. Thanks. again all and

Greg Divis

Thanks, Dan.

Operator

David next with Sandler. comes Our question Piper from Amsellem

David Amsellem

Thanks.

with But your functionality late that thoughts from I or on from heard too talked night had potential taking the competitor, night, even at KOLs, morning potential LUMRYZ of to bedwetting. just through anecdotally your dosing. you So get couple wanted like middle we’ve detailing messages challenges the a interfering things counter

kind is to competition of that I’ll particularly and respond kinds stop your relates there. those you those to – counter do to concerns? how as and So kinds concerns what it of So messaging,

Greg Divis

Well, David. thanks, you first. Jen, I’ll go Yes, let

Jennifer Gudeman

Sure. great. That’s

have is our eight twice-nightly taking we relative We twice-nightly is actually And a hours concentration bit have oxybate. shown than the dose that little after conducted LUMRYZ lower comparing two oxybate. to what studies bioavailability

seen our those study. in pivotal expectation trial and impairment based of day, be would in the something we’ve any levels blood next or not sort open upon our So there that clinical certainly label of not is

shouldn’t with operate machinery really, heavy When to nocturnal taking also or When period. about the think your that hours it’s window you sleep can does the day about you oftentimes with take oxybate dose. functioning. with is you that you later really that a twice-nightly think up after six six that XX-minute hours and dose, are that important next any think patients LUMRYZ interfere drive covers note when restriction second when additional waking that I

Greg Divis

Thanks Jen. anything Richard, to you want comment?

Richard Kim

Hey David, of sort it’s you Yes. quite I of just – interesting we add, noise, bit would oh, hear background know, David.

go. we There thanks. Hey

some research wake de to is up most the your they think want David, of far we on don’t question last that thing of normal. so So during one we’re middle thought would concerned, as the making counter XX years as really the physicians messaging we absolutely is I over anyone us think see where patients the in for market start realized have has patients has been consistently patients, that predominantly LUMRYZ. our will novo night And around I state

intuitive sort the second proposition is an believe as not aptly speaking existing into as far ability will with or of that And the think need as during where they of we the well. up as sort the also us it we issues get would to physicians night? – both to there’s they that have point, that for patients But are I subside new Jen’s see where is you patients if offer oxybate, dose tolerability well. the generally with of not a therapy middle their, to to to offer time for tend know spillover over and any Why we

our if up, with deal if that more than – are them counter will to head believe we’re – come those we messages campaigns on. we the So and them prepared that address

David Amsellem

patients follow-up; I be in sodium going you you’re a have may to to to That’s low gone pull able already? in sneak just helpful. think If do who

Greg Divis

Yes.

therapy. David, tend about be So satisfied and have more. for a and shorter oxybate, as find diagnosed gone of research, mixed-salt not who the have treatment they what twice-nightly to we generally version been adopters patients do to of when with narcolepsy of our patient they earlier to time, seeking the tend be we They’re period patients who

nudging LUMRYZ So highest they just the more those of our going patient out even the the level mixed-salt, manage segments on all an learning our Xyrem can version group their Ironically, ones switched narcolepsy. is high they most there though who patient – that about do the are are extremely and to in have interest switching. potentially they they show mixed-salt of are because to often the or belief are to seek

David Amsellem

you. Thank

Greg Divis

David. Thanks

Operator

next of from Marc Goodman line Securities. the Our SVB question with comes

Unidentified Analyst

Hi, thanks funding. on for taking launch on your Congrats for We based commercial current my the your Rudy progress. question. XXXX the about It’s in talk Marc. expenses can operating on line

need another, do raise before around we’ll million, Now, maybe $XXX you additional funding breakeven? Thanks.

Greg Divis

for Thanks Yes. the question.

We’re really capital made pleased, a rise. we

We’re not expenses. operating on providing guidance

XXXX, good capital heading from our frankly We’re but we for into have quite now with the to a we’re go standpoint that launch.

Unidentified Analyst

products, the that of position? you the So now the you that’s IP very you give helpful. confidence currently strengths mentioned have XX these what you in patents like And also can talk about IP, the about

Greg Divis

other first its actually we have bedtime extent. we’re would protect patent that And to that is the only foremost option. what with that continue have more be. and as formulation think assume manner to our oxybate believe innovated many label company been and of so granted with fact far I that once at consistent of it fullest have whatnot to nightly of treatment we’re will and come, treating types to you our first the Well, and nightly to once methods will families I once in includes drugs, generally directed pro a we’re say which formulations, final patients quite alternate salts oxybate we well quite polymers, but proud a The formulations or in. as They’re would obviously confident

our of in far, listed Book have so robustness to intellectual come. the patents confident Orange quite the the we we’re So property, more and XX

Unidentified Analyst

helpful. it. quarter. a Congrats That’s again Got very on

Greg Divis

Rudy. Thanks

Operator

Ladenburg Our Thalmann. comes Instructions] from with Kaplan [Operator question Matt next

Matt Kaplan

morning. Good Hello.

Greg Divis

Matt. Hi

Matt Kaplan

Hi.

can questions; with and couple kind sales Richard, of one a go-to-market number and number regions some more team? of maybe of of on terms you color sales get to – provide your the in reps Just of strategy of terms sales the organization in

Richard Kim

problem. No Matt. Sure Yes.

the XX% the Of three force that for up, the last are oxybate that prescription XX% X,XXX volume is prescribers sales total volume. than less in less X,XXX make sizing makeup our the of of the XXX based-off So than years. insight in of there of

XX% So to gate, groups. to we the of focus we’re sizing the But it make that right around a those we’re the X,XXX on little out spend really prescription of XX going on volume. bit up more probably time sort of

almost And cover other on, also interested we including offices up get also and which set Now group do to get an the first prescription will our of to the us few that use people they’re those for if sort allow some prescribers forward. REMS who we that like narcolepsy really for before don’t ensure out – entire earlier a oxybate. signal, detection and is high interesting well goes will early us,

from we starting time. we’re then experience where oxybate expand to So is, the focus and there can over

Matt Kaplan

patient of reimbursement in center terms then function get patient coverage? help And and services support will how get your to that

Richard Kim

United and Yes. just launch. specialty going that not product for sort prescribing folks. this is We It’s things to any one made be secret of a know the States I in easy fulfilling see of our the would It’s its sauce challenge.

patient. our beyond So it’s

to navigators, both so center going reimbursement the more services understand in reimbursement patient and aspects. well. nurses, clinical the be staffed Our with nurse accredited actually services they will They’re care will actually be actually as

sort can nurse It is that So there of longer have they in be build each office term won’t our person mix-and-match actually will care a a goal navigators. relationship. dedicated different

and into team. that have But out building to offers specialists for the will able And we the concurrently staff as made aspect really those actual the center guide as help already are reimbursement, will both also and on and support both who thing and individual that patients office live a the be folks also then are offices patient the there support directly go the in help field reimbursement focuses other that well. themselves

fulfillment will that the So the with time sure of make of we value build but to taken time we’ve we’ve lot care had, believe patients, of proposition because got to can the resources and prescribers the and really a make and first well. a invested we as generate energy spent to we’ve excitement sure that LUMRYZ lot we’ve get that

Matt Kaplan

then RTW there; Okay. terms of That’s financing help in the for in have us very with Tom the if only helpful, to yes, X.X interest to – that you thanks tranche, understand RTW if amount of it royalty the pull you’ll you a terms the Richard. can times full question funding pay first Or you term don’t And amount? down does it’s, down if pull is you work? how back the or

Tom McHugh

to draw Matt. the on or Thanks of flexibility where financing the Listen, one great not. the at I tranche about our we No. second it royalty the really it’s things option is think have

you’re lot but first if in a on X.Xx. of filing, So hard the it’s X-K our details is tranche focus there’s cap the out there,

Matt Kaplan

Okay. That’s Tom. helpful. Thanks

Tom McHugh

Thanks Matt.

Operator

turn question-and-answer Greg for remarks. back the today’s I’d to concludes call like to Divis session. That closing

Greg Divis

joining Thank Thanks. day. your the Thank for your you rest fourth earnings you. spending on a time our We everyone. And morning full in us us year XXXX of and thank you your with wish today and quarter great appreciate call. you

Operator

you for Thank call. concludes today’s participating. conference This

You may now disconnect.

Avadel Pharmaceuticals (AVDL) 30 Mar 232022 Q4 Earnings call transcript