KOD - Why Kodiak Sciences Stock Is Skyrocketing Today
Shares of Kodiak Sciences (NASDAQ: KOD) were skyrocketing 85.8% higher as of 10:41 a.m. EST on Monday after rising as much as 146.5% earlier in the day. This huge jump was spurred by Kodiak's announcement that it was selling a capped 4.5% royalty right on potential global net sales of experimental eye-disease drug KSI-301 to Baker Bros. Advisors (BBA) for $225 million.
There are several reasons investors really liked Kodiak's deal with BBA. First, it puts Kodiak in a solid financial position to continue advancing its clinical programs. At the end of September, the company's cash stockpile was enough to fund operations through the first half of 2020 but not much beyond then.
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