Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of KYTHERA Biopharmaceuticals (UNKNOWN:KYTH.DL), a clinical-stage biopharmaceutical company developing prescription products targeted at the aesthetic medicine market, jumped by as much as 12% after the company announced it had acquired all rights to ATX-101 outside the United States and Canada.

So what: According to KYHTERA's press release, the company has acquired all rights to ATX-101, its submental fat (i.e., unwanted fat under a patient's chin) reduction drug, outside of the U.S. and Canada from its development partner, Bayer (NASDAQOTH:BAYRY). Under the terms of the agreement, Bayer will receive $33 million in KYTHERA common stock, plus a $51 million note that KYTHERA must pay no later than 2024. Bayer remains eligible to receive long-term sales milestone for ATX-101 as well. KYTHERA also notes that it's on track to file for a new drug application for ATX-101 in the second quarter.

Now what: Anytime a wholly clinical-stage company can reacquire the rights to a promising compound outside the U.S. for what is basically the equivalent of a common stock issuance and a 10-year loan I'd say they've done a pretty good job. The market for aesthetic medicines is huge because economic fluctuations tend to take a backseat to consumers' self-confidence, so with that respect ATX-101 future sales look promising. Current peak annual sales estimates, assuming approval, vary wildly, but sit most commonly around $500 million. While KYTHERA's current value of $1 billion may seem reasonable, consider that it's splitting that revenue in the U.S. and Canada with Bayer. Given that, I believe much of ATX-101's catalysts, including its possible approval and launch, may have already been priced into KYHTERA's shares.