ImmunoGen stock jumps after licensing deal with Japan’s Takeda Pharmaceutical

Shares of ImmunoGen Inc. IMGN, -5.02% jumped 1.7% in premarket trading Monday, after the Massachusetts-based drug maker announced a collaboration with Takeda Pharmaceutical Co. Ltd. TAK, +0.13% 4502, +0.52% to commercialize its Elahere ovarian cancer treatment in Japan. Under terms of the collaboration, ImmunoGen will receive an upfront payment of $34 million, and will be eligible to receive additional payments as the U.S. Food and Drug Administration’s accelerated approval of Elahere is converted to full approval, and as other regulatory and commercial milestones are met. Takeda will receive an exclusive license to commercialize Elahere in Japan and will be responsible for all regulatory filings. ImmunoGen’s stock has rocketed 225.2% year to date through Friday, while the S&P 500 SPX, +0.61% has tacked on 14.8%.

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Tomi Kilgore is MarketWatch's deputy investing and corporate news editor and is based in New York. You can follow him on Twitter @TomiKilgore.