Compugen Climbs on Teva Collaboration

Shares of Compugen(CGEN Quote) climbed Tuesday on news the company had inked a deal to collaborate with Teva Pharmaceutical(TEVA Quote) on a project to discover biomarkers that can indicate drug toxicity prior to clinical stages of drug development.

The two Israel-based companies will focus initially on biomarkers for the early detection of potential nephrotoxicity, or toxicity of the kidney cells.

Under the terms of the agreement, Teva gets a license to use the discovered markers for research-and-development activities, and Compugen retains commercialization rights for licensing to other companies, as well as rights for internal use.

Shares of small-cap Compugen were up 21 cents, or 7.4%, at $3.06 in recent trading Tuesday. Teva shares were down 4 cents, or 0.1%, at $34.72.