Myovant Soars on $4.2 Billion Pfizer Prostate-Cancer Deal

(Bloomberg) -- Myovant Inc. soared after it agreed to collaborate with Pfizer Inc. on developing and commercializing a prostate cancer drug in a deal worth as much as $4.2 billion.

The companies will jointly develop and commercialize Myovant’s Orgovyx in advanced prostate cancer and, if approved, a combination tablet including the drug in women’s health, according to a statement Monday. The deal includes a $650 million upfront payment to Myovant and other payments for reaching regulatory and commercial goals.

Myovant shares were up 29.8% to $29.52 at 9:38 a.m. in New York Trading. Pfizer was little changed.

The U.S. Food and Drug Administration approved Orgovyx -- a once-daily, oral treatment that blocks activity of a hormone called gonadotropin -- for prostate cancer this month. Pfizer will receive an exclusive option to commercialize the drug in oncology outside the U.S. and Canada, excluding certain Asian countries, according to the statement.

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