HK Stock Market Move | Some pharmaceutical stocks opened higher. Recently, there has been a continuous stream of positive news in the pharmaceutical industry. Novartis bets nearly $7.8 billion on mRNA-TCE.

Some pharmaceutical stocks opened higher. As of press time, ANTENGENE-B (06996) rose 5.26% to HK$3.5; CANSINOBIO (06185) rose 3.58% to HK$35.88; Joinn Laboratories (06127) rose 3.22% to HK$31.4; GENSCRIPT BIO (01548) rose 2.93% to HK$45. On the news front, on October 2, Abogen announced that it would grant Novartis the global rights to its mRNA-encoded CD19CD3 dual-target TCE drug ABO2203, while also licensing to Novartis the exclusive option to "several" next-generation therapeutic assets developed on its RNA platform. The potential maximum total value of upfront and milestone payments is approximately US$7.775 billion. This set a new record for the amount of an outbound licensing collaboration in China's mRNA field. Earlier in August, Moderna's Phase III clinical trial of a personalized mRNA cancer vaccine in collaboration with Merck achieved positive results, demonstrating the feasibility of mRNA in cancer treatment and driving a global reassessment of the sector's value in capital markets. It is worth noting that there has recently been a continuous stream of positive news in the pharmaceutical industry. On the policy side, the U.S. Treasury Department's new rules on investment in China are expected to preserve the ability of U.S. pharmaceutical companies to reach licensing agreements with Chinese drugs; during the same period, China's "15th Five-Year Plan" for the pharmaceutical industry was released, further strengthening the positioning of biopharmaceuticals as an emerging pillar industry. In addition, recent major BD and strategic collaborations have landed intensively, covering frontier directions such as oral weight loss, RAS, and bispecific antibodies, with each single transaction exceeding US$2 billion. KAIYUAN SECURITIES believes that overseas R&D of domestic innovative drugs continues to advance, and attention should be paid to opportunities for realizing the value of BD going overseas.