HK Stock Market Move | BIOSTAR PHARM-B(02563) rose more than 10%, hitting a new high, which is 80% higher than the IPO price. Its core product is Youtiedelon injection.

BIOSTAR PHARM-B (02563) rose more than 10%, reaching a high of HK$29, an increase of over 80% from the IPO price of HK$16. As of the time of writing, it has risen 8.65% to HK$28.25, with a turnover of HK$11.9984 million. It is reported that Huahao Zhongtian was established in 2002 and is a synthetic biology technology-driven biopharmaceutical company dedicated to developing innovative cancer drugs. The company's core product, Yutanidelon Injection, was approved by the National Medical Products Administration for listing in 2021 at an average selling price of 2388.71 yuan per bottle. It was included in the National Medical Insurance Drug Catalog in 2022 and the negotiated price officially took effect on March 1, 2023, with the price of the product dropping more than 60%. However, due to the increase in medical insurance volume, the company's product sales have correspondingly increased in recent years. In the article "After boosting the stock price by 30% with the tactic of 'buying back,' what is supporting BIOSTAR PHARM-B's market value of nearly HK$8 billion?", it is pointed out that Huahao Zhongtian Pharmaceuticals' strong performance on the first day of listing is not unrelated to its buyback tactics. Due to insufficient national allocation, the sponsor has the right not to carry out buyback according to the corresponding rules. Therefore, the company started the tactic of scarcity, only providing 12% of the goods. In addition, the difference between the upper and lower limits of Huahao Zhongtian Pharmaceuticals' IPO price reached 37%, ultimately setting the lower limit price. Such scarcity tactics + lower limit pricing means that it is a high probability event for the stock price to rise after listing. However, how long the impressive performance maintained by the tactic of "buying back" will last remains to be seen.