Enzon Pharmaceuticals jumped before Monday's opening bell after the company said its board is considering the sale of all or part of the company.
Based in Piscataway, N.J, Enzon said it hired Lazard to act as a financial advisor in its review of its assets.
The biotechnology company also plans to suspend development on its androgen receptor program in hopes of saving money.
Enzon said it established a special committee of its board to oversee its options.
Chairman Alex Denner said that the board determined the sale of the company or some of its assets was in the best interests of shareholders. He said that in addition to Enzon's strong balance sheet and royalty revenues, its drug candidates and technologies offer the potential for a variety of deals.
Shares of Enzon Pharmaceuticals Inc. rose 38 cents, or 8 percent, to $4.95 in premarket trading.