(RTTNews) – Shares of IDEAYA Biosciences, Inc. (IDYA) are surging more than 38% Tuesday morning after the company announced a broad partnership with GSK in synthetic lethality, an emerging field in precision medicine oncology. The stock touched a new high of $14.83, currently trading lower at $12.42.
The partnership covers three IDEAYA synthetic lethality programs – MAT2A, Pol Theta, and Werner Helicase, and will explore combinations between IDEAYA and GSK programs.
As per the deal, IDEAYA will receive a $100 million upfront cash, and $20 million and $20 million in share purchase in direct placement, and a potential $50 million cash option exercise fee for the MAT2A program. IDEAYA is also entitled to receive potential preclinical, clinical and sales milestones.
IDEAYA will receive a 50% US profit share for the MAT2A and Werner Helicase programs and is responsible for 20% of global development costs for products being developed with GSK.