Biotech Stock Primed for Best Day Ever After Amgen Deal

Amgen and Entera will collaborate on inflammatory disease treatments

Patrick Martin

Managing Editor

Dec 11, 2018 at 9:22 AM

ENTX

The shares of Entera Bio Ltd. (NASDAQ:ENTX) are up 26.3% in electronic trading, after the biotech name announced a licensing deal with Amgen (AMGN) to collaborate on oral treatments for inflammatory diseases and other serious illnesses. Entera will receive up to $270 million in milestone payments, and will retain all property rights to its oral drug delivery technology.

Today's premarket upside has ENTX stock eyeing its best day ever, and trading near the top of the Nasdaq today. The shares are set to open at their highest point since mid-October, though the shares remain well below Entera Bio's late-June initial public offering (IPO) price of $8 per share.

Analysts have been relatively quiet on the Wall Street newcomer. Currently, only one brokerage firm is covering the stock, rating it a "buy" and maintaining a $12 price target, more than double Monday's closing price of $5.49.

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