Shares of gene therapy company MeiraGTx Holdings (NASDAQ:MGTX) soared 30.3% to $8.36 on Thursday, reaching their highest level since June 2023, following the announcement of a major collaboration with Hologen.
The two companies will form a joint venture, Hologen Neuro AI, aimed at developing an experimental gene therapy, AAV-GAD, to treat Parkinson’s disease—a debilitating brain condition that affects movement, mental health, sleep, and causes pain among other symptoms.
Under the terms of the deal, MeiraGTx will receive an upfront payment of $200 million for the venture, along with an additional $230 million to support the development of AAV-GAD, which is currently in late-stage clinical trials.
MeiraGTx will retain a 30% ownership stake in Hologen Neuro AI and take the lead on all clinical development and manufacturing efforts.
The announcement comes alongside MeiraGTx’s 2024 financial results, which showed a significant revenue increase to $33.28 million, up from $14.02 million the previous year.
Prior to Thursday’s surge, the company’s stock had gained a modest 5.6% over the past 12 months.