Biotech Market Spotlight: Patrys & CSL

Patrys (ASX:PAB) stocks have surged in heavy trading this morning, leaping over 60% to 21c as of midday on the back of news that the biotech has entered in to an agreement with CSL (ASX:CSL) to develop two of Patrys' leading antibody-based therapy candidates.

The agreement lets CSL research and develop two of Patrys' early stage antibodies, with an option for CSL to develop two more in the future.

CSL has paid an undisclosed up front amount and will also pay Patrys milestone payments over the first 30 months of the agreement if development goals are met. If products reach the market, Patrys is also entitled to royalty payments.

The therapy candidates being explored by CSL don't include Patrys' lead products, PAT-SM6, PAT-LM1 and PAT-SC1.

CSL is down 42c, or 1.34%, to $30.93.