HK Stock Market Move | PEGBIO CO-B(02565) increased by over 14% and reached an exclusive commercial cooperation agreement with Teng Pharmaceutical for the mainland China market.

PEGBIO CO-B(02565) rose by over 14%, as of the time of writing, it increased by 14.04% to HK$61.75, with a turnover of HK$57.708 million. In terms of news, PegBio Biopharmaceuticals announced that it has recently signed a strategic cooperation agreement with Shanghai Tengri Pharmaceutical Co., Ltd. on the commercialization of its core product, Paidacon, in mainland China. According to the cooperation arrangement, both parties will integrate their respective advantages in research and development and commercialization, jointly promote the market promotion and commercial layout of the target product in mainland China. Both parties have established in the cooperation agreement that the core commercial goal is to achieve cumulative sales exceeding RMB 10 billion. According to the cooperation agreement, Tengri Pharmaceutical will pay a total of approximately HK$140 million in equity fees to the company. According to the current payment arrangement, the relevant equity fees are expected to be completed within this year. The board believes that this cooperation will bring a cash flow with high certainty to the company and further accelerate the commercialization process of the target product. According to the cooperation arrangement, Tengri Pharmaceutical will be responsible for the exclusive commercial promotion activities of the target product in mainland China. The sales revenue in mainland China will be confirmed by the company.