Key points:
- Arcturus Therapeutics announced a collaboration with CSL Seqirus
- Arcturus will receive an upfront payment of $200m
- ARCT stock jumped 32%
Arcturus Therapeutics (NASDAQ: ARCT) stock jumped premarket Wednesday on the back of its announcement of a collaboration with CSL Seqirus.
The collaboration will see Arcturus work with CSL on the research, development, manufacturing, and global commercialization of vaccines.
Arcturus shares are up 32% at $24.15 before the start of Wednesday’s session. They closed the previous session at $18.28 per share.
Ready to put what you’ve learned into practice?
Try IG’s platform with £10,000 in virtual funds and practise trading
without putting your own money at risk.
Try IG with a demo account →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Learn the markets with IG Academy
Build your knowledge with IG Academy educational content, then use a
demo account to practise what you’ve learned on the IG platform.
Explore IG →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
See how trading works before risking real money
IG’s demo gives you access to thousands of markets and £10,000 in
virtual funds, so you can explore the platform and test your ideas first.
Open an IG demo →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Turn trading theory into practical experience
Learn with IG Academy, explore charts and market tools, and practise
strategies in a simulated trading environment before going live.
Start practising with IG →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Ready to take your learning further?
IG combines market education, analysis and an established trading platform,
giving you the tools to keep learning as you develop your trading skills.
Discover IG →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Also Read: Five Best Pharmaceutical Stocks To Watch In 2022
As part of the deal, Arcturus will be paid $200 million upfront and more than $4 billion in potential development and commercial milestones, while there will also be a 40% profit sharing for Covid-19 vaccines, up to double-digit royalties for influenza, three additional respiratory infectious disease vaccines, and pandemic preparedness.
“We are excited to embark on this collaboration with CSL Seqirus, a respected world leader in the development, manufacture and commercialization of vaccines,” said Joseph Payne, President and CEO of Arcturus Therapeutics.
Following the news, Barclays analyst Gena Wang lifted Arcturus Therapeutics to Equal Weight from Underweight, raising the firm’s price target on the stock to $25 from $16 per share. Wang described the deal as “favorable,” adding that it strengthens the company’s near-term balance sheet, partially validates its RNA platform, and supports commercial upside.
Meanwhile, reacting to the announcement, Cantor Fitzgerald analyst Pete Stavropoulos boosted the firm’s price target on Arcturus to $44 from $39, maintaining an Overweight rating. The analyst said the collaboration provides further external validation of the platform technologies and reduces execution risk.
