Edgewise Therapeutics (EWTX) stock rocketed Monday after pharma giant Servier agreed to buy the biotech's muscular dystrophy business for up to $2.65 billion.
The deal includes Edgewise's experimental drug, sevasemten. Edgewise will receive $1.55 billion up front and up to $1.1 billion in potential milestone payments.
Servier's acquisition frees Edgewise up to focus on its cardiovascular efforts. The company is testing a drug called EDG-7500 for patients with hypertrophic cardiomyopathy, or HCM. In this condition, the heart muscle becomes stiff, making it difficult to pump blood efficiently.
Edgewise plans to use the proceeds to fund EDG-7500 through its potential approval.
In morning trades, Edgewise Therapeutics shares surged more than 16% to 39.94. Shares opened at a record high. The stock has a strong IBD Digital Composite Rating of 89 out of a best-possible 99. This means Edgewise stock ranks in the top 11% of all stocks when it comes to 12-month performance.
The deal includes Edgewise's experimental drug, sevasemten. Edgewise will receive $1.55 billion up front and up to $1.1 billion in potential milestone payments.
Servier's acquisition frees Edgewise up to focus on its cardiovascular efforts. The company is testing a drug called EDG-7500 for patients with hypertrophic cardiomyopathy, or HCM. In this condition, the heart muscle becomes stiff, making it difficult to pump blood efficiently.
Edgewise plans to use the proceeds to fund EDG-7500 through its potential approval.
In morning trades, Edgewise Therapeutics shares surged more than 16% to 39.94. Shares opened at a record high. The stock has a strong IBD Digital Composite Rating of 89 out of a best-possible 99. This means Edgewise stock ranks in the top 11% of all stocks when it comes to 12-month performance.
3 days ago
