HK Stock Market Move | INNOVENT BIO (01801) opened nearly 10% higher and reached a global strategic cooperation agreement with Takeda Pharmaceuticals. The total transaction amount can reach up to 11.4 billion US dollars.

INNOVENT BIO (01801) opened nearly 10% higher, at the time of writing, up 9.9% at HK$95.5, with a trading volume of HK$1.82 billion. In terms of news, on October 22, INNOVENT BIO announced a global strategic partnership with Takeda Pharmaceutical to accelerate the development of the next generation IO and ADC therapies. This collaboration includes two late-stage investigational therapies IBI363 and IBI343, as well as an early-stage project IBI3001. Both parties will jointly develop the next generation IO cornerstone therapy IBI363 (PD-1/IL-2Alpha-bias) globally, and commercialize it in the United States with Takeda leading the related work. Additionally, INNOVENT BIO will grant Takeda the commercialization rights for IBI363 outside of Greater China and the United States, exclusive rights for IBI343 (CLDN18.2 ADC) outside of Greater China, and exclusive option rights for IBI3001 (EGFR/B7H3 ADC) outside of Greater China. INNOVENT BIO will receive an upfront payment of $1.2 billion (including $100 million in premium strategic equity investment) and potential milestone payments, with a total transaction value of up to $11.4 billion. INNOVENT BIO will also receive sales royalties. In this collaboration, Takeda Pharmaceutical will invest $100 million in strategic equity in INNOVENT BIO through its subsidiary Takeda Pharmaceuticals International AG, expected to subscribe for 6.9138 million Sinopharm shares, representing approximately 0.4% of its enlarged share capital, at a price of HK$112.56 per share, a premium of approximately 29.53% over the previous closing price of HK$86.9. 80% of this investment will be used for the research and development of multiple clinical and pre-clinical projects in the global pipeline, while 20% will be used for general corporate purposes.