Lexicon Pharmaceuticals Inc said a study showed that a single dose of its diabetes drug significantly lowered blood sugar levels.

Data from the mechanistic study -- which tries to see how the human body reacts to different compounds -- showed that the drug increased levels of GLP-1 and PYY, important regulators of blood sugar and appetite control.

The company also said it started enrolling patients with type-2 diabetes for a mid-stage trial of the drug, called LX4211.

In the Phase 2b trial, LX4211 will be administered in about 285 adult patients with type-2 diabetes in combination with a standard-of-care metformin therapy for over 12 weeks.

LX4211 had already shown encouraging results in a Phase 2a trial in January this year.

The Woodlands, Texas-based company's shares closed at $1.79 on Friday on Nasdaq. (Reporting by Kavyanjali Kaushik in Bangalore; Editing by Sriraj Kalluvila