Why Infinity Pharmaceuticals (INFI) Stock Is Soaring Today

NEW YORK (TheStreet) -- Shares of Infinity Pharmaceuticals  (INFI) soared 47.68% to $16.13 in morning trading Wednesday after the company partnered with Abbvie  (ABBV) to develop and market Infinity's experimental blood cancer drug IPI-145, or duvelisib.

The two companies announced the partnership Wednesday morning. Abbvie will pay $275 million in cash upfront for global licensing rights to the oral drug, which Infinity designed to block the PI3K protein, a crucial component for growing tumors. Infinity can also receive up to $530 million in development and milestone payments in the future.

The two companies will share marketing duties for the drug and would split sales and profits in the U.S. if duvelisib receives approval. Infinity will receive a royalty on Abbvie's net sales of the drug in the range of 23.5% to 30.5% outside the U.S.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

More than 6.6 million shares had changed hands as of 10:14 a.m., compared to the average volume of 510,102.

INFI Chart INFI data by YCharts

EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he and Stephanie Link think could be potentially HUGE winners. Click here to see the holdings for FREE.

More from Markets

Global Stocks Slide as Trump's New Trade War Salvo Ignites Fresh Concern

Global Stocks Slide as Trump's New Trade War Salvo Ignites Fresh Concern

Trump Tariff Threat, Deutsche Bank, Elon Musk and Apple - 5 Things You Must Know

Trump Tariff Threat, Deutsche Bank, Elon Musk and Apple - 5 Things You Must Know

Automakers Slump as Trump Launches National Security Probe into US Car Imports

Automakers Slump as Trump Launches National Security Probe into US Car Imports

Deutsche Bank Confirms Massive Job Cuts as New CEO Christian Sewing Plants Flag

Deutsche Bank Confirms Massive Job Cuts as New CEO Christian Sewing Plants Flag

Carnival CEO Arnold Donald: China Will Become the Largest Cruise Market

Carnival CEO Arnold Donald: China Will Become the Largest Cruise Market