The impact of the collective procurement on the certainty of future growth is limited, INNOVENT BIO (01801) may welcome an excellent "buying opportunity".

On January 15, a rumor about "group procurement of biosimilar drugs" suddenly appeared in the market, causing fluctuations in the biopharmaceutical sectors of the AH markets. Many companies in the pipeline with biosimilar drugs were affected to some extent, including INNOVENT BIO (01801). It is understood that this rumor originated from the mention of "Anhui will lead the national alliance group procurement of biopharmaceuticals to create efficient medical insurance" at a medical security work conference in Anhui Province on January 14. There are different interpretations of this in the market, with some believing that the conference in Anhui indicates that a nationwide group procurement of biosimilar drugs may be launched in the second half of this year. Due to the lack of specific policy details and the rumors and interpretations flying everywhere in the market, market panic intensified in a short period of time, and all companies with biosimilar drugs in the pipeline were targeted. Stocks of companies like NextCure (688062.SH) and Shenzhou Cell (688520.SH) on the A-share market were impacted to varying degrees. In fact, the root of the market panic lies in the uncertainty of the group procurement of biosimilar drugs as a variable factor, which may have an adverse impact on the future revenue growth expectations of relevant companies. On January 16, in response to the stock price fluctuations of the day, INNOVENT BIO issued a statement saying, "In view of the recent abnormal fluctuations in the Company's share price and trading volume, we hereby clarify: the Company's business operations are normal and have not changed," and reiterated the performance guidance of achieving 20 billion yuan in domestic product revenue by 2027. It is easy to see that the clear signal that INNOVENT BIO is sending to the market is that the expected impact of the group procurement on the company's product revenue growth is limited. As a leading domestic innovative biopharmaceutical company, the growth focus of INNOVENT BIO in recent years has shifted to the level of differentiated innovation. It is known that INNOVENT BIO currently has globally leading products under research in cutting-edge technologies such as ADC, bispecific antibodies, and multispecific antibodies, with the commercialization of innovative products imminent. According to recent information on the company's development shared by INNOVENT BIO's founder, chairman, and CEO Yu Dechao at the 43rd annual J.P. Morgan Healthcare Conference, the company's performance is expected to continue to grow rapidly, with innovations striving for breakthroughs, the launch of six new drugs, and the commercialization of the tumor and comprehensive product pipelines progressing simultaneously, while further enhancing marketing efficiency and output. It is understood that in terms of product development cycle, INNOVENT BIO is gradually entering the stage of pipeline realization. For example, in the field of anti-tumor drugs, the company's two products targeting mutations in non-small cell lung cancer (NSCLC), Fluzeris and Tylatinib have been approved for marketing; the weight loss indications for Mashedoseptides (GCG/GLP-1) and type 2 diabetes are expected to be approved for marketing in the first and second half of 2025 respectively; the ophthalmology monoclonal antibody IBI-311 targeting IGF-1R is expected to be approved for marketing in the first half of 2025, becoming the first anti-IGF-1R monoclonal antibody to be marketed in China; the Piconikimab monospecific antibody is expected to be approved for marketing by the end of 2025, becoming the only IL-23p19 monoclonal antibody with a trial participant proportion exceeding 80% reaching PASI 90 after 16 weeks of treatment globally. In addition, the company's independently developed PCSK9 inhibitor Torexi Single Chain Antibody has also been successfully included in the latest medical insurance catalog. In addition, in 2025, INNOVENT BIO plans to submit applications for market approval for seven drugs or key clinical trials are ongoing, and seven innovative pipeline plans have started key registration clinical trials (based on PoC data), providing strong momentum for the company's rapid growth. Also, innovative molecules with global potential will continue to read out PoC data. Currently, INNOVENT BIO has become a leading company in the domestic field of cancer treatment, and its comprehensive product line has become the second growth pole of the company, unlocking more market space for chronic diseases with the launch of several blockbuster new drugs in 2025. In its latest response announcement, INNOVENT BIO also stated that "the progress of the Company's products Machedosptide, IBI, and Piconke Baibai Single Antibody in approval is smooth and unchanged," showing strong commercialization certainty for innovative products in 2025. For investors, the emotional fluctuations in the secondary market this time undoubtedly present an excellent "buying opportunity."