Shares in Roquefort Therapeutics PLC (LSE:ROQ) soared 71% in the first hour of trading after the biotech firm agreed to sell its subsidiary, Oncogeni, to UAE-based Nations Trust Holding for up to $12 million (£9.3 million).
The deal includes an upfront payment and milestone-based payouts, though both sides still need to finalise a binding agreement within the next 60 days.
Oncogeni owns the rights to two promising biotech treatments - mesodermal killer (MK) cells and STAT-6 siRNA - designed for cancer and immune system therapies.
Roquefort acquired Oncogeni in 2022 for £5 million in shares and has since expanded its development and patent portfolio.
The deal follows Roquefort’s strategy of acquiring undervalued biotech projects, developing them, and selling them for a profit.
In early trading, the stock was up 1.1p at 2.65p.