Bitcoin sets a new all-time high above $6,000 >>> READ MORE

MannKind (MNKD) Stock Soars on Sanofi Afrezza Inhaled Insulin Deal

MNKD shares were up 7% as of Friday afternoon


MannKind (MNKD) stock soared on Monday following news of a deal with Sanofi (SNY).

mnkd-stock-sanofi-afrezza-mannkindThe deal between MannKind and Sanofi will have the latter paying up to $925 million, $150 million from the get go and $775 million more if it meets expectations, for worldwide rights to the former’s Afrezza. Afrezza is an insulin drug that can be inhaled. It’s currently the only form of insulin that can be taken through inhalation. It was only approved in the United States seven weeks ago, reports Bloomberg.

According to the terms of the deal, Sanofi will get 65% of the profit or loss from Afrezza. It will give MannKind as much as a $175 million advance in expenses. The inhaled insulin has the possibility of benefiting roughly 29 million people in America alone, Bloomberg notes.

David Kliff, an analyst for Diabetic Investor, claims that the deal between the two companies is good news for MannKind, but that is shows that Sanofi is desperate. he also claims that Afrezza is a an alright drug, but that it isn’t as amazing a people are making it out to be. He believes that it will reach a niche market and that it will reach sales in the hundreds of millions, reports The Wall Street Journal.

MNKD shares were up 7% as of Monday afternoon.

More Biotech Stocks in the News

Article printed from InvestorPlace Media,

©2017 InvestorPlace Media, LLC