Shares of molecular diagnostics company Biocept (NASDAQ:BIOC) have skyrocketed by nearly 77% today after it entered into a non-exclusive licensing deal with Plus Therapeutics (NASDAQ:PSTV) for CNSide, Biocept’s cerebrospinal fluid-based tumor cell platform. CNSide is used for the detection and monitoring of tumor status in leptomeningeal metastases (LM).
This licensing deal expands upon the existing service agreement between the two companies. Plus Therapeutics plans to use the platform in a clinical study for its radiotherapeutic candidate targeted for the treatment of carcinomas or melanomas with suspected LM.
Under the deal, Biocept will receive an upfront payment of $150,000 in PSTV stock and $6,000 for every cerebrospinal fluid tumor cell enumeration analysis performed in Biocept’s laboratory (prior to technology transfer to Plus Therapeutics).
Furthermore, following the technology transfer, Biocept will receive $300,000. It will also receive additional fees for every CNSide test performed. Plus Therapeutics will also have the option to receive third-party exclusivity from Biocept after a $1 million payment.
Despite today’s price gains, Biocept shares are still down nearly 97% over the past year. While PSTV shares have also tanked nearly 78% over this period, the Street sees 616% potential upside in the stock, based on a Strong Buy consensus rating and a $17.33 consensus price target.
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