08:25 AM EDT, 09/23/2024 (MT Newswires) -- Ventyx Biosciences ( VTYX ) shares were up 25% in recent Monday premarket activity after announcing it will receive a $27 million investment from Sanofi ( SNY ) .

Sanofi ( SNY ) agreed to purchase 70,601 of the Company's Series A non-voting convertible preferred shares, each initially convertible into 100 shares, Ventyx said, adding that Sanofi ( SNY ) will pay an as-converted price of $3.82 per share.

The transaction is expected to close today.

Ventyx said the investment will make its cash position sufficient to fund operations into at least the second half of 2026.

Under the investment, Ventyx will grant Sanofi ( SNY ) an exclusive right of first negotiation with certain program rights to its investigational neuroinflammatory disease treatment VTX3232.

Price: 2.7690, Change: +0.47, Percent Change: +20.39