Summit Therapeutics (NASDAQ:SMMT) shares rose 22% in pre-market trading on Tuesday after AstraZeneca (NASDAQ:AZN) agreed to make a $2 billion strategic equity investment in the biotechnology company.
The investment will be made through newly issued convertible preferred shares at an effective common stock equivalent price of $18.36 per share.
The transaction will give AstraZeneca rights equivalent to approximately 12% of Summit’s outstanding common stock, according to the supplied information.
The agreement was announced after the close of regular trading on Monday, 28 September 2026, with Summit shares subsequently rising in extended-hours and pre-market trading.
Companies Agree Ivonescimab Clinical Collaboration
Alongside the equity investment, AstraZeneca and Summit entered into a clinical collaboration agreement involving their respective oncology treatments.
The companies plan to evaluate AstraZeneca’s sonesitatug vedotin, or Sone-Ve, in combination with Summit’s ivonescimab in gastrointestinal cancers.
AstraZeneca and Summit also signed a memorandum of understanding to explore additional combination studies involving ivonescimab and other AstraZeneca antibody-drug conjugates.
The supplied information did not provide timelines or financial terms for the additional potential studies.
Ivonescimab FDA Decision Expected in November
Summit is also awaiting a US Food and Drug Administration decision on its Biologics License Application for ivonescimab in EGFR-mutated non-small cell lung cancer.
The FDA’s Prescription Drug User Fee Act decision date is scheduled for 14 November 2026, according to the supplied material.
The pending decision represents a regulatory review and does not indicate whether the FDA will approve the application.
Summit Shares Advance in Pre-Market Trading
The broader US equity market showed limited movement in pre-market trading, with the S&P 500 and Nasdaq broadly unchanged, while Summit shares advanced 22%.
The company’s share-price movement followed the announcement of AstraZeneca’s investment and the clinical collaboration agreements.
The supplied material also noted that Summit’s shares had traded as low as $12.07 during the previous 52 weeks.
Summit Therapeutics stock price
AstraZeneca stock price
