<PAGE>
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
--------------------
SCHEDULE 13D
(RULE 13d-101)
INFORMATION TO BE INCLUDED IN STATEMENTS FILED PURSUANT TO 13D-
1(A) AND AMENDMENTS THERETO FILED PURSUANT TO 13D-2(A)
(AMENDMENT NO. 1)/1/
ARRIS PHARMACEUTICAL CORPORATION
--------------------------------
(Name of Issuer)
Common Stock
------------
(Title of Class of Securities)
04269 W 107
-----------
(CUSIP Number)
Hope Flack
BVF Partners L.P.
333 West Wacker Drive, Suite 1600
Chicago, Illinois 60606
(312) 263-7777
--------------------------------------------
(Name, Address and Telephone Number of Person
Authorized to Receive Notices and Communications)
December 4, 1997
----------------
(Date of Event which Requires Filing of this Statement)
If the filing person has previously filed a statement on Schedule 13G to
report the acquisition which is the subject of this Schedule 13D, and is filing
this schedule because of Rule 13d-1(b)(3) or (4), check the following box [_].
Note: Six copies of this statement, including all exhibits, should be filed
with the Commission. See Rule 13d-1(a) for other parties to whom copies are to
be sent.
(Continued on following pages)
(Page 1 of 10 Pages)
- --------------------
/1/ The remainder of this cover page shall be filled out for a reporting
person's initial filing on this form with respect to the subject class of
securities, and for any subsequent amendment containing information which would
alter disclosures provided in a prior cover page.
The information required on the remainder of this cover page shall not be
deemed to be "filed" for the purpose of Section 18 of the Securities Exchange
Act of 1934 or otherwise subject to the liabilities of that section of the Act
but shall be subject to all other provisions of the Act (however, see the
Notes).
<PAGE>
- ----------------------- ---------------------
CUSIP NO. 04269 W 107 SCHEDULE 13D PAGE 2 OF 10 PAGES
- ----------------------- ---------------------
- ------------------------------------------------------------------------------
NAME OF REPORTING PERSON
1 S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Biotechnology Value Fund, L.P.
- ------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
2 (a) [X]
(b) [_]
- ------------------------------------------------------------------------------
SEC USE ONLY
3
- ------------------------------------------------------------------------------
SOURCE OF FUNDS*
4
WC
- ------------------------------------------------------------------------------
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
5 ITEMS 2(d) or 2(e) [_]
- ------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
Delaware
- ------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF 0
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 8
398,621
OWNED BY
-----------------------------------------------------------
EACH SOLE DISPOSITIVE POWER
9
REPORTING 0
PERSON -----------------------------------------------------------
SHARED DISPOSITIVE POWER
WITH 10
398,621
- ------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11
398,621
- ------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
12
[_]
- ------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
13
2.6%
- ------------------------------------------------------------------------------
TYPE OF REPORTING PERSON*
14
PN
- ------------------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE>
- ----------------------- ---------------------
CUSIP NO. 04269 W 107 SCHEDULE 13D PAGE 3 OF 10 PAGES
- ----------------------- ---------------------
- ------------------------------------------------------------------------------
NAME OF REPORTING PERSON
1 S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
BVF Partners, L.P.
- ------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
2 (a) [X]
(b) [_]
- ------------------------------------------------------------------------------
SEC USE ONLY
3
- ------------------------------------------------------------------------------
SOURCE OF FUNDS*
4
OO
- ------------------------------------------------------------------------------
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
5 ITEMS 2(d) or 2(e) [_]
- ------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
Delaware
- ------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF 0
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 8
750,367
OWNED BY
-----------------------------------------------------------
EACH SOLE DISPOSITIVE POWER
9
REPORTING 0
PERSON -----------------------------------------------------------
SHARED DISPOSITIVE POWER
WITH 10
750,367
- ------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11
750,367
- ------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
12
[_]
- ------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
13
5.0%
- ------------------------------------------------------------------------------
TYPE OF REPORTING PERSON*
14
PN
- ------------------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE>
- ----------------------- ---------------------
CUSIP NO. 04269 W 107 SCHEDULE 13D PAGE 4 OF 10 PAGES
- ----------------------- ---------------------
- ------------------------------------------------------------------------------
NAME OF REPORTING PERSON
1 S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
BVF Inc.
- ------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
2 (a) [X]
(b) [_]
- ------------------------------------------------------------------------------
SEC USE ONLY
3
- ------------------------------------------------------------------------------
SOURCE OF FUNDS*
4
WC, OO
- ------------------------------------------------------------------------------
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
5 ITEMS 2(d) or 2(e) [_]
- ------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
Delaware
- ------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF 0
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 8
750,367
OWNED BY
-----------------------------------------------------------
EACH SOLE DISPOSITIVE POWER
9
REPORTING 0
PERSON -----------------------------------------------------------
SHARED DISPOSITIVE POWER
WITH 10
750,367
- ------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11
750,367
- ------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
12
[_]
- ------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
13
5.0%
- ------------------------------------------------------------------------------
TYPE OF REPORTING PERSON*
14
IA,CO
- ------------------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE>
- ----------------------- ---------------------
CUSIP NO. 04269 W 107 SCHEDULE 13D PAGE 5 OF 10 PAGES
- ----------------------- ---------------------
Amendment No. 1 (the "Amendment") to the Statement on Schedule 13D, dated
October 1, 1997 (the "Statement"), filed with the Securities and Exchange
Commission on behalf of Biotechnology Value Fund, L.P., a Delaware limited
partnership ("BVF"), BVF Partners L.P., a Delaware limited partnership
("Partners"), and BVF Inc., a Delaware corporation ("BVF Inc." and, together
with BVF and Partners, the "Reporting Persons") with respect to the Common
Stock, par value $0.001 per share (the "Stock"), of Arris Pharmaceutical
Corporation, a Delaware corporation ("Arris").
Item 3 is hereby amended to read in its entirety as follows:
ITEM 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION.
Since October 23, 1997, Partners, in its capacity as general partner of
BVF, has purchased on behalf of such limited partnership an aggregate number of
42,800 shares of the Stock for an aggregate consideration of $446,383.24,
utilizing funds provided by BVF from its working capital pursuant to the terms
of its limited partnership agreement with Partners and has sold 138,700 shares
of the Stock for an aggregate consideration of $1,494,544.39. In addition,
Partners, in its capacity as investment manager with respect to certain managed
accounts, has purchased on behalf of such managed accounts an aggregate number
of 39,500 shares of the Stock for an aggregate consideration of $421,028.67,
utilizing funds under management by Partners pursuant to investment management
agreements between Partners and such managed accounts and has sold 117,000
shares of Stock for an aggregate consideration of $1,264,730.44.
Item 5 is hereby amended to read in its entirety as follows:
ITEM 5. INTEREST IN SECURITIES OF THE ISSUER.
(a) BVF beneficially owns 398,621 shares of the Stock, Partners
beneficially owns 750,367 shares of the Stock, and BVF Inc. beneficially owns
750,367 shares of the Stock, approximately 2.6%, 5.0% and 5.0%, respectively, of
the aggregate number of shares outstanding as of October 31, 1997 (as reported
in Arris' most recent statement on Form 10-Q).
(b) BVF shares voting and dispositive power over the 398,621 shares of the
Stock it beneficially owns with Partners. Partners and BVF Inc. share voting
and dispositive power over the 750,367 shares of the Stock they beneficially own
with, in addition to BVF, the managed accounts on whose behalf Partners, as
investment manager, purchased such shares. The managed accounts on whose behalf
Partners owns shares of the Stock are Investment 10 L.L.C., an Illinois limited
liability company ("ILL10"), Palamundo, L.D.C., a limited duration company
organized under the laws of the Cayman Islands ("Palamundo"), ZPG Securities,
L.L.C., a New York limited liability company ("ZPG") and Biotechnology Value
Fund, Ltd., a Cayman Islands Corporation ("BVF Ltd."). ILL10, Palamundo, ZPG
and BVF
<PAGE>
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CUSIP NO. 04269 W 107 SCHEDULE 13D PAGE 6 OF 10 PAGES
- ----------------------- ---------------------
Ltd. are collectively referred to herein as the "Accounts." The Accounts
specialize in holding biotechnology stocks for investment purposes and the
business address of each is BVF Partners L.P., 333 West Wacker Drive, Suite
1600, Chicago, Illinois 60606.
(c) Exhibit B attached hereto contains information as to all transactions
in the Stock by the Reporting Persons during the past sixty days. All such
transactions were made for cash in open market, over-the-counter transactions.
No other transactions in the Stock have been effected by the Reporting Persons
during the past sixty days.
(d) The Accounts are entitled to receive dividends and any sale proceeds
with respect to the Stock in proportion to their respective ownership interests
therein.
(e) The Reporting Persons ceased to the beneficial owners of more than five
percent of the Common Stock of Arris on December 5, 1997.
Item 7 is hereby amended to read in its entirety as follows:
ITEM 7. MATERIAL TO BE FILED AS EXHIBITS.
Exhibit A - Agreement Regarding Joint Filing
Exhibit B - Transactions in the Stock by the Reporting Persons during the
last 60 days.
<PAGE>
- ----------------------- ---------------------
CUSIP NO. 04269 W 107 SCHEDULE 13D PAGE 7 OF 10 PAGES
- ----------------------- ---------------------
After reasonable inquiry and to the best of my knowledge and belief, I
certify that the information set forth in this statement is true, complete and
correct.
Dated: December 8, 1997.
BIOTECHNOLOGY VALUE FUND, L.P.
By: BVF Partners L.P., its general partner
By: BVF Inc., its general partner
By: /s/ Mark N. Lampert
---------------------------------
Mark N. Lampert
President
BVF PARTNERS L.P.
By: BVF Inc., its general partner
By: /s/ Mark N. Lampert
---------------------------------
Mark N. Lampert
President
BVF INC.
By: /s/ Mark N. Lampert
------------------------------
Mark N. Lampert
President
<PAGE>
EXHIBIT A
AGREEMENT REGARDING JOINT FILING
--------------------------------
The undersigned, Biotechnology Value Fund, L.P., a Delaware limited
partnership, and BVF Partners L.P., a Delaware limited partnership, and BVF
Inc., a Delaware corporation, hereby agree and acknowledge that the Amendment
containing the information required by Schedule 13D, to which this Agreement is
attached as an exhibit, is filed on behalf of each of them. The undersigned
further agree that any further amendments or supplements thereto shall also be
filed on behalf of each of them.
Dated: December 8, 1997.
BIOTECHNOLOGY VALUE FUND, L.P.
By: BVF Partners L.P., its general partner
By: BVF Inc., its general partner
By: /s/ Mark N. Lampert
------------------------------
Mark N. Lampert
President
BVF PARTNERS L.P.
By: BVF Inc., its general partner
By: /s/ Mark N. Lampert
------------------------------
Mark N. Lampert
President
BVF INC.
By: /s/ Mark N. Lampert
-------------------------------
Mark N. Lampert
President
Page 8 of 10 Pages
<PAGE>
EXHIBIT B
TRANSACTIONS IN THE STOCK BY THE REPORTING PERSONS
--------------------------------------------------
DURING THE PAST SIXTY DAYS
--------------------------
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------
Settlement For the Price per
Date By Account of Quantity Share Type of Trade Broker
- ---------------------------------------------------------------------------------------
<C> <S> <C> <C> <C> <C> <C>
10/23/97 Partners BVF 10,000 $12.4375 Purchase HMQT
- ---------------------------------------------------------------------------------------
10/23/97 Partners BVF Ltd. 10,100 $12.4375 Purchase HMQT
- ---------------------------------------------------------------------------------------
10/31/97 Partners BVF 4,000 $11.1375 Purchase PFTC
- ---------------------------------------------------------------------------------------
10/31/97 Partners PAL 2,000 $11.1375 Purchase PFTC
- ---------------------------------------------------------------------------------------
10/31/97 Partners BVF Ltd. 4,000 $11.1375 Purchase PFTC
- ---------------------------------------------------------------------------------------
11/05/97 Partners BVF Ltd. 1,400 $11.7388 Purchase INET
- ---------------------------------------------------------------------------------------
11/07/97 Partners BVF (32,300) $11.1186 Sale INET
- ---------------------------------------------------------------------------------------
11/07/97 Partners ILL10 (8,000) $11.1186 Sale INET
- ---------------------------------------------------------------------------------------
11/07/97 Partners PAL (4,400) $11.1186 Sale INET
- ---------------------------------------------------------------------------------------
11/07/97 Partners ZPG (3,500) $11.1186 Sale INET
- ---------------------------------------------------------------------------------------
11/07/97 Partners BVF Ltd. (33,000) $11.1186 Sale INET
- ---------------------------------------------------------------------------------------
11/07/97 Partners BVF (20,000) $11.0625 Sale INET
- ---------------------------------------------------------------------------------------
11/07/97 Partners BVF (24,000) $11.1875 Sale MIST
- ---------------------------------------------------------------------------------------
11/10/97 Partners BVF (5,000) $11.5387 Sale INET
- ---------------------------------------------------------------------------------------
11/10/97 Partners ILL10 (3,000) $11.5387 Sale INET
- ---------------------------------------------------------------------------------------
11/10/97 Partners PAL (3,000) $11.5387 Sale INET
- ---------------------------------------------------------------------------------------
11/10/97 Partners BVF Ltd. (10,000) $11.5387 Sale INET
- ---------------------------------------------------------------------------------------
11/11/97 Partners BVF (16,000) $11.1875 Sale PFTC
- ---------------------------------------------------------------------------------------
11/11/97 Partners ILL10 (5,000) $11.1875 Sale PFTC
- ---------------------------------------------------------------------------------------
11/11/97 Partners ZPG (4,000) $11.1875 Sale PFTC
- ---------------------------------------------------------------------------------------
11/11/97 Partners BVF Ltd. (8,000) $11.1875 Sale PFTC
- ---------------------------------------------------------------------------------------
11/13/97 Partners BVF (10,000) $10.6532 Sale INET
- ---------------------------------------------------------------------------------------
11/13/97 Partners BVF Ltd. (2,200) $10.6532 Sale INET
- ---------------------------------------------------------------------------------------
11/14/97 Partners BVF (1,000) $10.4375 Sale INET
- ---------------------------------------------------------------------------------------
11/14/97 Partners ILL10 (2,000) $10.7418 Sale INET
- ---------------------------------------------------------------------------------------
11/14/97 Partners ZPG (2,000) $10.7418 Sale INET
- ---------------------------------------------------------------------------------------
</TABLE>
Page 9 of 10 Pages
<PAGE>
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------
Settlement For the Price per
Date By Account of Quantity Share Type of Trade Broker
- ---------------------------------------------------------------------------------------
<C> <S> <C> <C> <C> <C> <C>
11/14/97 Partners BVF Ltd. (5,200) $10.7418 Sale INET
- ---------------------------------------------------------------------------------------
11/17/97 Partners BVF (5,500) $ 9.6534 Sale INET
- ---------------------------------------------------------------------------------------
11/18/97 Partners BVF (5,000) $ 9.5714 Sale INET
- ---------------------------------------------------------------------------------------
11/18/97 Partners BVF Ltd. (2,000) $ 9.5714 Sale INET
- ---------------------------------------------------------------------------------------
11/19/97 Partners BVF (7,000) $ 9.6312 Sale INET
- ---------------------------------------------------------------------------------------
11/19/97 Partners BVF Ltd. (2,600) $ 9.6312 Sale INET
- ---------------------------------------------------------------------------------------
11/20/97 Partners ILL10 (1,700) $ 9.7500 Sale INET
- ---------------------------------------------------------------------------------------
11/21/97 Partners BVF 28,800 $ 9.5998 Purchase INET
- ---------------------------------------------------------------------------------------
11/21/97 Partners ILL10 2,000 $ 9.5998 Purchase INET
- ---------------------------------------------------------------------------------------
11/21/97 Partners PAL 1,000 $ 9.5998 Purchase INET
- ---------------------------------------------------------------------------------------
11/21/97 Partners ZPG 2,000 $ 9.5998 Purchase INET
- ---------------------------------------------------------------------------------------
11/21/97 Partners BVF Ltd. 17,000 $ 9.5998 Purchase INET
- ---------------------------------------------------------------------------------------
12/04/97 Partners BVF (7,000) $10.0415 Sale PFTC
- ---------------------------------------------------------------------------------------
12/04/97 Partners BVF Ltd. (3,400) $10.0415 Sale PFTC
- ---------------------------------------------------------------------------------------
12/04/97 Partners BVF (1,000) $10.0000 Sale INET
- ---------------------------------------------------------------------------------------
12/05/97 Partners BVF (4,900) $ 9.5000 Sale INET
- ---------------------------------------------------------------------------------------
12/05/97 Partners ILL10 (2,000) $ 9.5000 Sale INET
- ---------------------------------------------------------------------------------------
12/05/97 Partners PAL (2,000) $ 9.5000 Sale INET
- ---------------------------------------------------------------------------------------
12/05/97 Partners ZPG (2,000) $ 9.5000 Sale INET
- ---------------------------------------------------------------------------------------
12/05/97 Partners BVF Ltd. (8,000) $ 9.5000 Sale INET
- ---------------------------------------------------------------------------------------
</TABLE>
HMQT = Hambrecht, Quist
INET = Instinet
PFTC = Preferred Technologies
MIST = Mr. Stock
Page 10 of 10 Pages
