Palantir Technologies Inc. shares rose 12% at 10:40 a.m. in New York after the company won a three-year contract worth $44.4 million with the U.S. Food and Drug Administration, according to Bloomberg. The contract allows Palantir to power drug reviews and inspections and is one of the dozen deals the company has secured with the U.S. federal agencies.
- The deal will allow the FDA’s Center for Drug Evaluation and Research and the Oncology Center of Excellence to use Palantir software to integrate and analyze data.
- Palantir software will also help FDA approve drugs, including possible Covid-19 treatments, and monitoring the safety of items like hand sanitizer.
- Government work comprises half of Palantir’s total revenue, and in late April, the company was awarded $21 million in contracts by the U.S. Health and Human Services Development
- Palantir’s co-founder Peter Thiel supported Donald Trump’s bid for the presidency in 2016, which has seen the company’s work with the government surge since then.
Palantir’s stock is currently gaining. PLTR: NYSE is up 15.03%