Enveric Biosciences, Inc. (NASDAQ: ENVB) and Diverse Biotech, Inc. disclosed Tuesday that both the firm has completed a strategic transaction to permit exclusive global development and marketing rights for five novel compounds to respond to the negative side effects of cancer treatments.

Diverse Biotech has gained recognition as a chemistry drug discovery platform that merges cannabinoids with other particles to generate new drug candidates with possibly greater potency and a more positive side effect profile than conventional therapy. As per the agreement, Diverse will obtain an up-front fee and royalties on sales of marketed mixtures in the region. The amount which the firm will receive has not been disclosed yet.

Shares of Enveric Biosciences skyrocketed 12.04% as it gained +0.47 during the pre-market trading session of Tuesday. In the past 52-weeks of the trading session, the firm’s share has wavered $2.36 and $21.20 from its past 52-week of low and high range. Shares of Enveric surged 61.86% from its 52-week low and -81.98% from its 52-week high. Enveric Biosciences has a total market capitalization of $65.86 million at the time of writing.

Diverse Biotech disclosed that the firm is delighted to cooperate with the exceptional team of Enveric. Diverse Biotech is confident that this partnership can pursue the vision of the firm for which it is aiming for. The firm revealed that it is hoping for the future relationship to grow its portfolio.