HK/China Healthcare Analyst (ex-Fosun Pharma)

Xinyao (Criss) Wang

Equity Capital Markets

<ul>
<li>A key point of the press conference held by the NHSA is that the selection in centralized procurement of medical devices will no longer be based on the lowest price.</li>
<li>Investors have high hopes for the licensing cooperation of IBI363. Our guess is a 50:50 licensing deal with MNC is expected, so as to maximize the value/potential of the drug.</li>
<li>Considering Li Ge's rich experience in capital operation, WuXi AppTec’s Placement implies its H-share is already at high level.Investors can consider taking profits, as share price adjustment may be coming.</li>
</ul>


A key point of the press conference held by the NHSA is that the selection in centralized procurement of medical devices will no longer be based on the lowest price.
Investors have high hopes for the licensing cooperation of IBI363. Our guess is a 50:50 licensing deal with MNC is expected, so as to maximize the value/potential of the drug.
Considering Li Ge's rich experience in capital operation, WuXi AppTec’s Placement implies its H-share is already at high level.Investors can consider taking profits, as share price adjustment may be coming.


China Healthcare Weekly (Aug.3)-Medical Device Valuation Repair,Deal on IBI363,WuXi AppTec Placement

Independent research on the U.S. markets, Baptista Research

Baptista Research

Independent research on the U.S. markets

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Equity Bottom-Up

<ul><li>Legend Biotech, a biopharmaceutical company focused on cell therapies for cancer and other serious diseases, delivered robust financial performance in the third quarter of 2024.</li><li>The company reported accelerating adoption and sales of its flagship product, CARVYKTI, a CAR-T (chimeric antigen receptor T) cell therapy targeting multiple myeloma.</li><li>For the quarter, CARVYKTI generated approximately $286 million in net sales, reflecting an 87.6% increase year-over-year and 53.2% quarter-over-quarter.</li></ul>

Legend Biotech, a biopharmaceutical company focused on cell therapies for cancer and other serious diseases, delivered robust financial performance in the third quarter of 2024.The company reported accelerating adoption and sales of its flagship product, CARVYKTI, a CAR-T (chimeric antigen receptor T) cell therapy targeting multiple myeloma.For the quarter, CARVYKTI generated approximately $286 million in net sales, reflecting an 87.6% increase year-over-year and 53.2% quarter-over-quarter.

Legend Biotech: Can The Partnership With Multiply Labs Be A Game Changer? - Major Drivers

Pan-Asia Catalysts/Events, Quiddity Advisors

David Blennerhassett

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

<ul>
<li>There are people who'll take profit in <a href="https://www.smartkarma.com/entities/seven-i-holdings-co-ltd" target="_blank" data-smartkarma-citation="entities:1041:1" rel="noopener">Seven &amp; I (3382 JP)</a> because of path dependency til year-end. It will drag out a while: buy the dips, trim on pops.</li>
<li>Just like in <a href="https://www.smartkarma.com/entities/lufax-holding-ltd-b751749a-8feb-4b4d-85a7-d99ac0308fe7" target="_blank" data-smartkarma-citation="entities:40067:1" rel="noopener">Lufax Holding (6623 HK)</a>'s special dividend, expect Ping An to boost its holding in <a href="https://www.smartkarma.com/entities/ping-an-healthcare-and-technology-company-limited" target="_blank" data-smartkarma-citation="entities:27008:1" rel="noopener">Ping An Healthcare and Technology (1833 HK)</a> via the stealthy scrip dividend option. </li>
<li>The landscape for <a href="https://www.smartkarma.com/entities/nec-networks-system-integr" target="_blank" data-smartkarma-citation="entities:16396:1" rel="noopener">Nec Networks &amp; System Integr (1973 JP)</a> has FULLY changed. The details now matter quite a bit. NEC has two basic choices. Neither are that palatable.  </li>
</ul>


There are people who'll take profit in Seven &amp; I (3382 JP) because of path dependency til year-end. It will drag out a while: buy the dips, trim on pops.
Just like in Lufax Holding (6623 HK)'s special dividend, expect Ping An to boost its holding in Ping An Healthcare and Technology (1833 HK) via the stealthy scrip dividend option. 
The landscape for Nec Networks &amp; System Integr (1973 JP) has FULLY changed. The details now matter quite a bit. NEC has two basic choices. Neither are that palatable.  


Last Week in Event SPACE: Seven & I, PA Gooddoctor, Nec Networks, Genscript/Legend, ASM PT, Hanwha

<ul>
<li>
<a href="https://www.smartkarma.com/entities/hanwha-corporation" target="_blank" data-smartkarma-citation="entities:10619:1" rel="noopener">Hanwha Corporation (000880 KS)</a> is "expensive" on my monitor. But that doesn't paint the whole picture. And what's up with <a href="https://www.smartkarma.com/entities/genscript-biotech-corp" target="_blank" data-smartkarma-citation="entities:21041:1" rel="noopener">Genscript Biotech (1548 HK)</a>'s deconsolidation of <a href="https://www.smartkarma.com/entities/legend-biotech-corp" target="_blank" data-smartkarma-citation="entities:28963:1" rel="noopener">Legend Biotech (LEGN US)</a>?</li>
<li>Preceding my comments on Hanwha and Genscript Biotech/Legend Biotech are the current setup/unwind tables for Asia-Pacific Holdcos.</li>
<li>These relationships trade with a minimum liquidity of US$1mn, and a % market capitalisation &gt;20%.</li>
</ul>



Hanwha Corporation (000880 KS) is "expensive" on my monitor. But that doesn't paint the whole picture. And what's up with Genscript Biotech (1548 HK)'s deconsolidation of Legend Biotech (LEGN US)?
Preceding my comments on Hanwha and Genscript Biotech/Legend Biotech are the current setup/unwind tables for Asia-Pacific Holdcos.
These relationships trade with a minimum liquidity of US$1mn, and a % market capitalisation &gt;20%.


StubWorld: Hanwha Corp; Genscript Biotech/Legend Biotech

<ul>
<li>Genscript announced the deconsolidation of Legend Bio. Although it may not necessarily be directly related to a potential merger, this move is beneficial for both parties from a strategic perspective.</li>
<li>Genscript is still the largest shareholder of Legend Bio, but the negative vote against Wang Ye in October indicates that there are clear divisions among major shareholders. </li>
<li>If AquaPoint votes against Wang Ye at shareholders’ meeting, it indicates that there are also divisions among co-founders. In this case, the probability of Legend Bio being sold greatly increases.</li>
</ul>


Genscript announced the deconsolidation of Legend Bio. Although it may not necessarily be directly related to a potential merger, this move is beneficial for both parties from a strategic perspective.
Genscript is still the largest shareholder of Legend Bio, but the negative vote against Wang Ye in October indicates that there are clear divisions among major shareholders. 
If AquaPoint votes against Wang Ye at shareholders’ meeting, it indicates that there are also divisions among co-founders. In this case, the probability of Legend Bio being sold greatly increases.


Legend Biotech (LEGN.US) Offer Update - Will Deconsolidation Increase the Chances of a Merger ?

China

Legend Biotech Corporation operates as a biopharmaceutical company. The Company engages in discovery and development of novel cell therapies for oncology and other indications. Legend Biotech serves customers in the State of New Jersey.

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Legend Biotech Corp (LEGN US)

China Healthcare Weekly (Aug.3)-Medical Device Valuation Repair,Deal on IBI363,WuXi AppTec Placement

NHSA shifts focus from lowest price to quality in medical device VBP, indicating valuation repair.IBI363 license deal with MNC is expected. WuXi...

Xinyao (Criss) Wang

Legend Biotech: Can The Partnership With Multiply Labs Be A Game Changer? - Major Drivers

Legend Biotech, a biopharmaceutical company focused on cell therapies for cancer and other serious diseases, delivered robust financial...

Baptista Research

Last Week in Event SPACE: Seven & I, PA Gooddoctor, Nec Networks, Genscript/Legend, ASM PT, Hanwha

It’s Sunday! Pour yourself a coffee, grab a comfortable seat, and sift through a brief summary of insights on various events discussed during the...

David Blennerhassett

StubWorld: Hanwha Corp; Genscript Biotech/Legend Biotech

Hanwha Corp appears attractive here. The pushback is that HC is thinly traded. And Genscript’s deconsolidation has minimal impact on financials...

David Blennerhassett

Legend Biotech (LEGN.US) Offer Update - Will Deconsolidation Increase the Chances of a Merger ?

The deconsolidation of Legend Bio may not necessarily be directly related to a potential merger, but divisions among major shareholders/co-founders...

Xinyao (Criss) Wang

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China Healthcare Weekly (Aug.3)-Medical Device Valuation Repair,Deal on IBI363,WuXi AppTec Placement

​NHSA shifts focus from lowest price to quality in medical device VBP, indicating valuation repair.IBI363 license deal with MNC is expected. WuXi...

Xinyao (Criss) Wang

Legend Biotech: Can The Partnership With Multiply Labs Be A Game Changer? - Major Drivers

Legend Biotech, a biopharmaceutical company focused on cell therapies for cancer and other serious diseases, delivered robust financial...

Baptista Research

Last Week in Event SPACE: Seven & I, PA Gooddoctor, Nec Networks, Genscript/Legend, ASM PT, Hanwha

It’s Sunday! Pour yourself a coffee, grab a comfortable seat, and sift through a brief summary of insights on various events discussed during the...

David Blennerhassett

StubWorld: Hanwha Corp; Genscript Biotech/Legend Biotech

Hanwha Corp appears attractive here. The pushback is that HC is thinly traded. And Genscript’s deconsolidation has minimal impact on financials...

David Blennerhassett

Legend Biotech (LEGN.US) Offer Update - Will Deconsolidation Increase the Chances of a Merger ?

The deconsolidation of Legend Bio may not necessarily be directly related to a potential merger, but divisions among major shareholders/co-founders...

Xinyao (Criss) Wang

NHSA shifts focus from lowest price to quality in medical device VBP, indicating valuation repair.IBI363 license deal with MNC is expected. WuXi...