Nanobiotix’s stock soars after entering licensing, development deal with J&J’s Janssen Pharmaceutica

Shares of Nanobiotix SA
NBTX,
+1.57%
shot up 52.1% toward a 17-month high in premarket trading Monday, after the France-based biotechnology company announced a global licensing and co-development agreement with Johnson & Johnson’s
JNJ,
-1.45%
Janssen Pharmaceutica NV for its cancer treatment. Under terms of the agreement, Nanobiotix will receive up to $60 million in cash near-term, including $30 million for licensing and up to $30 to help develop for NBTXR3, which is being evaluated for treatment of head and neck cancer. The company will also be eligible for up to $1.8 billion related to potential development, regulatory and sales milestones. The agreement comes after Nanobiotix’s stock rocketed 229.1% on May 5, after the company said it entered into a final contract negotiations with a “major global pharmaceutical company” to develop and commercialize NBTXR3. The stock has rallied 41.1% year to date through Friday, while the iShares Biotechnology exchange-traded fund
IBB,
-0.85%
has lost 5.3% and the S&P 500
SPX,
-0.29%
has climbed 14.6%.