Alkermes PLC shares rose 5.8% in premarket trade Monday on news of the company’s partnership with Biogen Inc. on the multiple sclerosis drug ALKS 8700. Biogen shares were not active in premarket trade. Under the agreement, Alkermes will receive $28 million upfront — which represents Biogen’s share of development costs in 2017 — and is eligible for up to $200 million in clinical and regulatory achievements. Biogen will pay for ALKS 8700 development expenses starting in 2018 and will be responsible for the therapy’s commercialization. The company also expects to register an initial milestone payment of $50 million as an expense this year, according to the agreement. ALKS 8700 is in late-stage clinical development to treat relapsing forms of multiple sclerosis. Alkermes shares have risen 1.3% over the last three months and Biogen shares have risen 8.4%, compared with a 6.5% rise in the S&P 500 .
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