MacroGenics rises ~15% on licensing deal with Gilead for potential cancer treatment
David Gyung/iStock via Getty Images


Gilead Sciences (NASDAQ:GILD) on Monday said it would license MacroGenics' (NASDAQ:MGNX) potential cancer treatment MGD024 under a collaboration agreement in exchange for an upfront payment of $60M.
MGNX stock jumped 14.8% to $4.04 in premarket trading.

MGNX said it would be responsible for an ongoing phase 1 study of MGD024 during which GILD can exercise its option to license the program at predefined decision points.
The collaboration agreement also allows GILD to license two additional bispecific research programs.
As per the deal, aside from the $60M upfront payment to MGNX, the company would also be eligible to get up to $1.7B in milestones.
GILD said it expects the transaction with MGNX to reduce its GAAP and non-GAAP 2022 EPS by about $0.04.