In a development that would come as a major boost to PHAS stock, PhaseBio Pharmaceuticals Inc (NASDAQ:PHAS) announced that it has reached a major agreement with SFJ Pharmaceuticals.
The company announced today that it reached a collaboration and financing agreement with SFJ, which has had a major effect on PhaseBio’s stock this morning.
The agreement is in relation to the PhaseBio product PB2452, which is supposed to work as a reversal agent for the antiplatelet therapy ticagrelor.
As a result, PHAS stock has emerged as one of the major gainers in the market this morning and will likely be monitored closely by market participants for the rest of the day. According to the agreement that has been signed between the two companies, SFJ Pharmaceuticals is going to provide funds to the tune of $120 million for the development of PB2452.
After the news broke, PHAS stock went up by as much as 25% to $7.05.
SFJ is also going to be responsible for all regulatory activities that take place outside the United States. As much as $90 million has been earmarked for expenses related to the development of the product until 2021.
The residual $30 million is going to be paid out after certain milestones are met. This is a significant deal for PhaseBio Pharmaceuticals, and the rally in PHAS stock should not come as a surprise.
Jonathon P. Mow, the Chief Executive Officer of PhaseBio, said of the deal: “This innovative collaboration with SFJ provides PhaseBio with substantial funding to continue the rapid advancement of our lead program, PB2452.”
He went on to add that the deal is also going to greatly expand the global reach of the product. Investors could do well by having PHAS stock in their watch lists.
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