LianBio (LIAN)

[MiamiGent]

LIAN While INM has been a meteor this morning, let's look under the hood of a smooth rising runner, LIANBIO

https://stockcharts.com/h-sc/ui?s=LIAN

$3.05 +1.6604 (+119.45%)
As of Oct-24-202310:51:20 AM ET

LIANBIO had news:

Why LianBio Stock Is Ripping Higher Today
BENZINGA

LianBio (NASDAQ:LIAN) shares are trading higher Tuesday after the company announced an agreement with Bristol Myers Squibb (NYSE:BMY) to purchase LianBio's exclusive rights to develop and commercialize mavacamten in mainland China, Hong Kong, Macau, Taiwan, Singapore and Thailand.

The Details:

Under the terms of the agreement, LianBio will receive a one-time payment of $350 million. The agreement also releases LianBio from payment obligations of up to $127.5 million in remaining milestone payments under the MyoKardia license agreement as MyoKardia, Inc. is now a wholly owned subsidiary of Bristol Myers Squibb.

"Over the past three years, we have worked in close collaboration with BMS to bring mavacamten to patients in Asia," said Yizhe Wang, Ph.D., CEO of LianBio. "The LianBio team executed a successful clinical development and regulatory strategy in our territories and has built robust launch infrastructure in anticipation of mavacamten's potential approval in China next year."

Shares of LIAN are up on heavy trading volume after the announcement. According to data from Benzinga Pro, more than 25.3 million shares have already been traded in the session, compared to the stock's 100-day average of 198 thousand shares.

So this solid news, a "real" play

LIAN has very substantial Institutional ownership, 75%

It had $279M in ready cash as of June 30th 10Q

Appears to have an annual burn of $82M but with a wire transfer of $350M coming, dilution is not likely.

Trading below book, even with today's run.

This could go on a while...