Harmony Biosciences to buy Zynerba Pharmaceuticals for up to $200 million

Shares of Zynerba Pharmaceuticals Inc.
ZYNE,
+265.78%
jumped 300% premarket on Monday after Harmony Biosciences Holdings Inc.
HRMY,
+0.02%
said it would acquire the cannabinoid therapy company in a deal worth up to $200 million. Harmony, which specializes in therapies for rare neurological diseases, said it would acquire all outstanding shares of Zynerba for $1.1059 per share in cash, or $60 million in the aggregate, with potential additional payments of up to $140 million based on achievement of certain clinical, regulatory and sales milestones. Zynerba’s Zygel has received U.S. Food and Drug Administration fast-track designation for treatment of behavioral symptoms in patients with Fragile X syndrome, a rare genetic disorder. Harmony Biosciences shares fell 2.2% premarket on Monday and have dropped 42% in the year to date, while the S&P 500
SPX,
+0.34%
has gained 16%.