05:40 AM EDT, 04/09/2024 (MT Newswires) -- Windtree Therapeutics ( WINT ) said Monday it has agreed to acquire a cancer treatment therapy from Varian Biopharmaceuticals.

The therapy from Varian, which comes in oral and topical forms, is a protein kinase C inhibitor with possible applications in oncology and rare malignant diseases.

Under the terms of the deal, Windtree issued to Varian investors 5,500 shares of its convertible preferred stock with a conversion price of $0.3603, which will accrue dividends at a rate of 10% a year. Windtree will pay Varian milestone payments of up to $2.3 million on the achievement of regulatory and clinical development milestones.

Windtree also said it issued $1.5 million in 10% senior convertible notes due Jan. 2, 2025, with a conversion price of $0.3603. Net proceeds from the offering will be used for general corporate purposes.

Shares of Windtree gained more than 4% in recent premarket activity on Tuesday.

Price: 0.42, Change: +0.01, Percent Change: +2.44