Shares of ImmunoGen jumped 23 percent in premarket trading Monday after the biotechnology company signed a licensing deal with Japan's Takeda Pharmaceutical Co.
Takeda will use ImmunoGen's technology to develop cancer treatments. ImmunoGen will get $20 million upfront and is eligible for milestone payments potentially totaling up to $210 million, plus royalties on sales. Takeda will be responsible for development and marketing of any products.
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The technology produced by ImmunoGen Inc., based in Waltham, Massachusetts, involves antibody drug conjugates, which target and kill cancer cells while avoiding destruction of healthy cells. Traditional chemotherapy destroys cancerous and healthy cells alike
Company shares rose $1.70 to $9.14 before the opening bell.