By Chris Wack

Century Therapeutics Inc. shares were up 12% to $14.79 in premarket trading Monday after the company said it was in a research collaboration and license agreement with Bristol Myers Squibb Co.

The company said the agreement is to develop and commercialize up to four induced pluripotent stem cell derived, engineered natural killer cell and/or T cell programs for hematologic malignancies and solid tumors.

The first two programs include a program in acute myeloid leukemia and a program in multiple myeloma, which could incorporate either the iNK or a gamma delta iT platform. Bristol Myers has the option to add two additional programs which can be nominated subject to certain conditions agreed with Century in the agreement.

Century said that it will be responsible for development candidate discovery and preclinical development activities. Thereafter, Bristol Myers Squibb will be responsible for clinical development and commercialization activities subject to Century's co-promotion rights on certain programs.

Under the terms of the agreement, Century will receive a $100 million upfront payment and Bristol Myers Squibb will make a $50 million equity investment in Century Therapeutics' common stock at a price of $23.14 a share.

Century said that it will receive reimbursement of certain preclinical development costs for development candidates licensed by Bristol Myers Squibb, and is eligible for additional payments for future program initiations and development, regulatory, and commercial milestone payments totaling more than $3 billion across the four potential programs. Century will also receive tiered royalties as a percentage of global net sales in the high-single to low-double digits.

Write to Chris Wack at chris.wack@wsj.com

(END) Dow Jones Newswires

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