Why Precision BioSciences Shares Are Surging Today - Precision BioSciences (NASDAQ:DTIL), Novartis (NYSE:NVS)

Precision BioSciences Inc DTIL has entered into an exclusive worldwide in vivo gene editing research and development collaboration and license agreement with Novartis AG NVS
Precision will develop a custom ARCUS nuclease that will be designed to insert, in vivo, a therapeutic transgene at a "safe harbor" location in the genome as a potential one-time transformative treatment option for sickle cell disease and beta-thalassemia.
Under the terms of the Agreement, Precision will develop an ARCUS nuclease and conduct in vitro characterization, with Novartis then assuming responsibility for all subsequent research, development, manufacturing, and commercialization activities.
Precision will receive an upfront payment of $75 million and is eligible to receive up to $1.4 billion in additional payments for future milestones.
Upon completion of the transaction, Precision expects that existing cash and equivalents, expected operational receipts, and available credit will be sufficient to fund its operating expenses and capital expenditure requirements into Q2 2024.
Precision BioSciences has announced a common stock offering of 35.9 million shares at $1.39/share, for approximately $50.0 million in gross proceeds.
Price Action: DTIL shares are up 12.23% at $1.56 during the premarket session on the last check Wednesday.