HUGE - FSD Pharma (HUGE) shares surge on licensing deal for veterinary drugs in dogs and cats

FSD Pharma (HUGE) soars 56% premarket after entering into a license agreement with Innovet Italia S.R.L., under which Innovet granted the Company a license to use ultramicronized-palmitoylethanolamide to develop FDA approved veterinary drugs for the treatment of gastro-intestinal diseases in Canine and Feline (Dogs and Cats). The agreement provides that the Company shall develop the Licensed Products with a view to submit an Investigational and New Drug Application within 36 and 60 months, respectively, of the effective date of the agreement. Under the terms of deal, an initial non-refundable sum of $500K is due and payable to Innovet followed by $250K after first year and additional sum of $750K.The License Agreement also specifies certain royalty of 14% of any one-off lump sum payments it receives as consideration for granting a sub-license and 5% of net sales of the Licensed Products.In addition, the Company today reported FY 2020 loss per share of (C$2.36)

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FSD Pharma (HUGE) shares surge on licensing deal for veterinary drugs in dogs and cats