11:33 AM EDT, 05/07/2024 (MT Newswires) -- Vanda Pharmaceuticals' ( VNDA ) shares were up more than 17% in recent trading Tuesday after Future Pak increased its bid to acquire all outstanding shares of Vanda.

The new proposal offers up to $260 million of potential contingent value rights, or CVRs, payments in addition to the cash consideration of $7.25 to $7.75 per share, according to Future Pak.

CVRs potentially raise the offer by $4.37 per share and include the first $200 million of any license or monetization proceeds of Tradipitant in any of the next three years, Future Pak added.

The remaining $60 million consists of $20 million annual payments tied to Fanapt net sales reaching $120 million in any of the next three years, Future Pak said.

Separately, Vanda said its board will review and evaluate Future Pak's revised unsolicited offer.

Price: 5.67, Change: +0.83, Percent Change: +17.15