UBS: Positive view on the cooperation between Sino Biopharmaceutical and Roche, with a "buy" rating.

UBS released a research report stating that Cinda Biopharmaceutical and Lilly have reached a cooperation agreement on multiple early-stage oncology and immunology assets. The agreement includes an initial payment of 350 million US dollars, potential milestone payments of up to 8.5 billion US dollars, and tiered royalties based on net sales. The bank has a positive view on the 7th cooperation between the two companies and believes that the establishment of a new company and joint development model in this cooperation is a new partnership model compared to previous out-licensing agreements. Cinda Biopharmaceutical pointed out that the potential assets in this cooperation are fewer compared to similar collaborations in the industry, and the financial terms are favorable. More importantly, the bank noted that the potential assets include new assets that have not appeared in Cinda Biopharmaceutical's R&D pipeline before, providing upward movement space for the company's target of advancing 8 to 10 candidate drugs into clinical stages annually. The bank now has a target price of 137.4 Hong Kong dollars for the company and a "buy" rating.