Veru (VERU) shares were up more than 8% in Tuesday's premarket activity after the company disclosed the sale of its FC2 female condom business to clients managed by Riva Ridge Capital Management and co-investors for around $18 million.

The sale, as well as the transfer of Veru's UK and Malaysian units, reduces the company's headcount to 22 from 210 and is expected to generate about $12.5 million after royalty payments and other adjustments.

The sale of the internal condom business "allows Veru to be a pure biopharmaceutical company," said Mitchell Steiner, chairman, president, and chief executive of Veru.

The company also said it is expecting clinical results in January from a phase 2b clinical trial of its drug enobosarm as a potential treatment to preserve muscle in patients with sarcopenic obesity or overweight elderly patients who are taking semaglutide.