Shares of MannKind Corporation (NASDAQ:MNKD) gained traction in Monday’s pre-market session after the drugmaker received its first $12.5 million milestone payment from United Therapeutics (NASDAQ:UTHR) thanks to a collaboration agreement for the development of a dry powder form of trepostinil.
The powder, Treprostinil Technosphere (TreT), is now being evaluated in clinical trials to treat pulmonary arterial hypertension, a form of high blood pressure in the lungs.
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As part of the licensing agreement with United Therapeutics, MannKind could earn additional milestone payments of up to $37.5 million. MannKind is also entitled to receive low double-digit royalties on net sales of TreT.
In response, investors pushed up MannKind shares by 5% to $2.06 before the opening bell.
Separately, the drug company also announced it filed a new shelf registration statement with the Securities and Exchange Commission on March 29, which will replace its existing statement that expires on April 27.
Headquartered in Westlake Village, California, MannKind focuses on the development of inhaled therapies for patients with diabetes and pulmonary arterial hypertension.
Contact Ellen Kelleher at ellen@proactiveinvestors.com