Gene therapy company MeiraGTx Holdings (NASDAQ: MGTX) surged in pre-market trading on Monday following a $30 million strategic investment by Sanofi (SNY). Sanofi will make this investment through the purchase of 4 million ordinary shares at a price of $7.50 per share.
Alexandria Forbes, Ph.D., President and CEO stated, “We view Sanofi’s interest in our Riboswitch gene regulation technology and our clinical Xerostomia program as further validation of the broad potential of our vertically integrated platform and we are excited to work with Sanofi as we advance these programs.”
As a part of this agreement, Sanofi will receive a right of first negotiation (ROFN) for the use of MeiraGTx’s Riboswitch gene regulation technology and for the company’s Phase 2 Xerostomia program.
Moreover, MeiraGTx stated that “multiple parties” have approached the company with strategic interest in its different assets and the company is actively looking at these options.
What is the MGTX Forecast?
Only one analyst has covered the stock in the past three months with a Buy rating on MGTX. MGTX stock has tanked by more than 40% year-to-date.
