Shares of Myovant Sciences MYOV,
it soared 16% in premarket trading on Monday, after its parent company Sumitovant Biopharma said Myovant would work with Pfizer Inc. PFE,
jointly develop a treatment for male and female cancer in an agreement worth up to $ 4.2 billion in initial and potential payments. Myovant will receive a $ 650 million down payment to develop relugolix, an oral gonadotropin-releasing hormone receptor oral antagonist once a day for use in oncology and women’s health in the United States and Canada. Pfizer will have the exclusive right to market relugolix in oncology outside the United States and Canada, excluding some Asian countries. Myovant is one of five companies under the umbrella of Sumitovant. “Myovant and Pfizer will jointly develop and market ORGOVYX (TM) (relugolix) in advanced prostate cancer and, if approved, combined relugolix tablets (relugolix 40 mg, estradiol 1.0 mg and norethindrone acetate 0.5 mg) for women’s health in the US and Canada, ”the companies said in a joint statement. The U.S. Food and Drug Administration approved Orgovyx on Dec. 18 as a treatment for advanced prostate cancer. Pfizer shares were a slightly higher premarket and gained 0.4% the year before, while the S&P 500 SPX,
has gained 15%.