Hong Kong innovative pharma stocks fell across the board; Zai Lab dropped over 11%, Hengrui Medicine and Ascletis Pha-B fell over 5%, Wuxi AppTec declined over 4%

Hong Kong innovative pharma stocks fell across the board; Zai Lab dropped over 11%, Hengrui Medicine and Ascletis Pha-B fell over 5%, Wuxi AppTec declined over 4%

Hong Kong's innovative pharma stocks experienced a significant drop on Wednesday, September 2, 2025, following an update from Zai Lab and a corporate treasury asset allocation decision by Haotian International. Zai Lab, a key player in the region's biopharmaceutical sector, saw its stock decline by over 11% after an interim analysis of its gastric cancer trial revealed mixed results [1]. The trial, which focused on first-line gastric cancer treatment, combined bemarituzumab with chemotherapy. The update did not provide specific details on the trial's outcomes, but the market reacted negatively to the news.

Additionally, Haotian International, a Hong Kong-listed company, announced that it would reallocate HK$357.5 million of its proceeds from a recent share placement to purchase Ethereum. This decision, which was approved by the board on September 3, 2025, represents a significant change in the company's use of funds. The company intends to fully deploy these funds within one month, reflecting a strategic shift in its corporate treasury asset allocation [2]. This move has sparked interest in the cryptocurrency market but did not directly impact the pharma sector.

Other notable drops in the Hong Kong pharma sector include Hengrui Medicine and Ascletis Pha-B, which fell over 5% each, and Wuxi AppTec, which declined by over 4%. These companies have not released specific updates that could explain the sudden drop in their stock prices. The broader market sentiment, influenced by the Zai Lab trial update and the Haotian International's Ethereum investment, may have contributed to the overall decline.

Investors are advised to closely monitor the latest developments in the gastric cancer trial and the potential impact of cryptocurrency investments on corporate treasury strategies. The pharma sector in Hong Kong remains dynamic and subject to various market influences.

References:
[1] https://seekingalpha.com/news/4491863-amgen-dips-after-trial-update-for-zai-lab-partnered-gastric-cancer-therapy
[2] https://en.coinotag.com/breakingnews/hong-kong-listed-haotian-international-to-spend-hk357-5m-buying-ethereum-after-reallocating-fund-proceeds/