Terns Pharmaceuticals Inc at JMP Securities Life Sciences Conference Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : Terns is focused on developing, obviously, small molecules for -- with different mechanisms of action about a host of indications, and -- but some investors may still know you as the NASH company or a NASH company. So maybe I would like to start there before moving on to oncology and with -- thyroid hormone beta has made big headlines with the Phase 3 Madrigal data that came out. Could you please tell us about where your molecule is at? And what do you expect for your planned data readout in the third quarter?

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : And obviously, you've already stated that you're interested in starting a [Phase 2b/3] study by the end of the year. So what are the scenarios that we'll get out of the data in the third quarter that would then -- that would lead you to a go/no-go decision going forward? Is there a bar? Is there something you want to be compared yourself to, or [because] no matter what, you'll go on to learn more in the Phase 2b?

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : No problem.

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : Great. And just to maybe put it in context, obviously, we're waiting for Viking data this quarter, and we know resmetirom as Madrigal's compound history in Phase 2 data. What are some of the differences in patient population that are in this Phase 2 data? And what can we compare and what should we compare?

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : Great. Looking forward to that data. And let's switch to oncology, where you're focused on a third-generation TKI for CML. Could you set the stage for your approach here and what you're trying to accomplish?

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : Great. Talk about the clinical development plan. Obviously, you have already voiced about your plans going into the clinic, and then your partnering was with Hansoh in China. Could you please elaborate on that partnership and your own plans?

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : Great. And obviously, in your earnings press release today, we've learned that at ASCO, your partner, Hansoh, will have a trial-in-progress poster, detailing how far they are along with enrollment and what groups and doses we are, and you also disclosed that by year end, we should have data from that trial.

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : Could you maybe tell us what can we learn at ASCO, and what can we learn from the data at the end of the year that's important for your trials in terms of doses or maybe initial ideas about the profile as it pertains to asciminib?

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : Great. And so, when this data comes out, what are some of the learnings that we should first look for? I know [they've submitted this], I believe, BOD. There might be some dosing differences if that works out, and there may be some food effects that you could be differentiated on. What are some of the principal learnings that we could get from the first data?

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : Great. And maybe talking about the next steps after these initial data, do you have single-arm accelerated approval route? Is that open to you? And is there any sort of requirement to head to head against asciminib at some point?

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : Great. Thank you. Maybe moving on to GLP-2. We've heard a lot of compounds, obviously. That mechanism of action is in the news almost every day with different formulations, different trials, different approaches. What's your approach here, and when are you going into the clinic? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MAY 15, 2023 / 6:00PM, TERN.OQ - Terns Pharmaceuticals Inc at JMP Securities Life Sciences Conference

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : And overall -- the target profile that you're shooting for -- I mean, realistically, what is it? [More of a way] to ease of use? Is it more, I guess -- can you be as efficacious in weight loss as injectables? Is it safety? What's kind of the goal or what kind of product profile?

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : What may lead to a difference in efficacy in terms of weight loss here? Is that versus the injectables? Is it simply just the -- a question of PK/PD, or is there anything else that plays into?

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : Great. And about the side effects, is there any reason to believe that the side effects may actually be more benign with oral versus IV?

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : Okay. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MAY 15, 2023 / 6:00PM, TERN.OQ - Terns Pharmaceuticals Inc at JMP Securities Life Sciences Conference

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : Maybe talking -- yes, actually, let's switch back to NASH. I believe in -- you also were scheduled to have a meeting with regulators regarding your pathway in NASH, and there was a -- maybe discussion of surrogate endpoint. Do you have any feedback? Did that already happen? Will that still happen? Can you comment on that? And when will we hear outcomes about that?

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : Okay. In terms of other updates that we get from this space, obviously, as Madrigal engages with payers and we get a PDUFA and we make it a price, does that -- what learnings can you apply to your molecule and maybe the late-stage development paths, and what options do you have?

Question: Silvan Tnrkcan - JMP Securities LLC - Analyst : Great. With that, we're unfortunately out of time, but thank you so much for joining us today. Thank you, Kerry. Thank you, Mark.