Sonoma Pharma Stock Is Trading Higher After Distribution Pact With EMC Pharma

Sonoma Pharmaceuticals Inc SNOA has entered into an agreement with EMC Pharma LLC for the exclusive right to manage, market, and distribute Sonoma's HOCl-based prescription dermatology and eye care products in the U.S. for an initial term of five years, subject to extension.
EMC Pharma will also have a non-exclusive agreement to manage, market, and distribute certain Microcyn-based wound care products into government channels.
As part of the partnership agreement, EMC will acquire all of the existing inventory and pay a royalty and transfer prices over the initial five-year term.
The parties agreed on specific minimum purchase requirements.
Price Action: SNOA shares are up 30.6% at $9.7 in the premarket trading on the last check Thursday.