Aridis In-Licenses Pneumonia Candidate From AstraZeneca

Aridis Pharmaceuticals Inc ARDS has entered into an exclusive, worldwide licensing agreement with AstraZeneca plc AZN to in-license the late-stage monoclonal antibody candidate, suvratoxumab for prevention of pneumonia.
Suvratoxumab extends Aridis' pneumonia franchise by complementing the existing AR-301 Phase 3 pneumonia treatment program.
Aridis will make an upfront payment to AstraZeneca of $11 million in cash and stock. AstraZeneca will also receive up to a further $115 million in milestone payments, in addition to tiered royalties on net sales.
EU Commission's Innovative Medicines Initiatives has provided up to €25 million funding for the suvratoxumab Phase 3 trial.
Price Action: ARDS shares are down 14.9% at $4.98 during the market session on the last check Monday.