Crispr Therapeutics (CRSP) and Vertex (VRTX) expanded their alliance to develop gene editing medicines to treat Duchenne muscular dystrophy and myotonic dystrophy type 1 with Crispr receiving $175M in cash up front and being eligible for $1B in milestones plus tiered royalties, Piper Jaffray analyst Edward Tenthoff tells investors in a research note.

Crispr is also advancing a wholly-owned pipeline of allogeneic gene edited CAR-Ts, adds the analyst. He estimates the company now holds pro forma cash of $631M and says it remains a top pick for 2019.

Tenthoff boosted his price target for the shares to $100 from $75 and reiterates an Overweight rating on the name.

Crispr Therapeutics in premarket trading is up 9% to $40.69.