Shares of Monte Rosa Therapeutics (GLUE) more than doubled on Monday after the biotechnology company entered into an exclusive development and commercialization licensing agreement with Novartis (N.V.S.) for its treatments against immune system diseases which could be worth more than $2 billion.

The company said Novartis would pay $150 million up front for exclusive global rights to develop, manufacture and commercialize its molecular glue degrading drug (MGD), MRT-6160, which is currently in development. Phase 1 trialas well as other MGDs. Monte Rosa explained that it could then receive up to $2.1 billion in “development, regulatory and sales milestones, starting from the initiation of Phase 2 studies, as well as tiered royalties on net sales outside the United States.

Novartis will be responsible for all clinical development and commercialization, starting with phase 2 clinical studies. Monte Rosa will complete the phase 1 trial and co-finance phase 3 clinical development. It will share all profits and losses associated with the manufacturing and marketing of MRT-6160 in the United States.

CEO says deal ‘should expand our operational runway’

Monte Rosa Chief Executive Officer (CEO) Dr. Markus Warmuth explained that the money raised from the deal “is expected to expand our operational runway, enable us to advance our pipeline toward potential value creation milestones and early proof-of-concept readouts, and leverage leverage more of our QuEEN discovery engine. ”

Monte Rosa Therapeutics recently rose 130% to $11.21, trading at its highest level in over two years. American Depository Receipts (ADRs) by Novartis was up about 1.5% at $115.47.