(Reuters) – Regeneron Pharmaceuticals Inc said on Monday it will invest $100 million in cancer drug developer bluebird bio Inc, and the companies will jointly develop new cell therapies for cancer.

The investment will be at $238.10 per share, a premium of nearly 59 percent over bluebird’s Friday closing price.

Bluebird bio’s shares were up about 7 pct at $160.50 in premarket trading on Monday.

The companies will use Regeneron’s VelociSuite platform technologies for the discovery of human antibodies as well as T cell receptors and bluebird’s gene transfer techniques.

Bluebird’s technology focuses on an emerging class of treatments known as CAR-T therapy, which involves genetic manipulation of a patient’s immune system.

The companies have selected six initial targets and will equally share the costs of research and development up to the point of submitting a marketing application in the United States.

(Reporting by Aakash Jagadeesh Babu in Bengaluru; Editing by Sriraj Kalluvila)