(Reuters) - Biotech company Targacept Inc TRGT.O said British drugmaker AstraZeneca (AZN.L) would return rights to several pre-clinical compounds, sending the U.S. company’s shares down 10 percent in extended trading.
A licensing agreement, signed in 2005, continues for the remaining compounds, including AZD1446, a potential treatment for Alzheimer’s disease.
The amendment to the agreement becomes effective 90 days after February 7, Targacept said in a filing with the U.S. Securities and Exchange Commission. (r.reuters.com/xuh76v)
Targacept shares closed at $4.96 on the Nasdaq on Monday.
Reporting by Shailesh Kuber; Editing by Don Sebastian