Gilead announces another cancer deal

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Shares of Gilead Sciences Inc. gained 0.3% in premarket trading on Tuesday after the drugmaker on Monday evening announced a deal worth more than $6 billion with Tango Therapeutics. The collaboration, which began in 2018, has been expanded to allow Gilead option rights to 15 programs rather than the original five. Gilead will give Tango a $150 million upfront payment and make a $20 million investment. It can also option each of the programs for up to $410 million per program. While much of Gilead’s news coverage this year has focused on the development of its COVID-19 treatment remdesivir, the company this year has also made a number of oncology deals, including a $4.7 billion acquisition of Forty Seven Inc., a partnership with Arcus Biosciences Inc. , a research deal with Teneobio Inc., and a $275 million stake in Pionyr Immunotherapeutics Inc. Gilead’s stock is up 6.4% year-to-date, while the S&P 500 has rallied 4.7%.
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