HK/China Healthcare Analyst (ex-Fosun Pharma)

Xinyao (Criss) Wang

Over 15 years' experience in both finance and healthcare, covering clinic operations, investment and equity research in both China and overseas.

Pre-IPO NovaBridge Biosciences - About the Pipeline and Thoughts on Valuation

Pre-IPO Shenzhen Mindray Bio-Medical Electronics (A/H Listing) - The Headwinds Still Exist

Pre-IPO CSPC Innovation Pharmaceutical (A/H Listing) - The Outlook Is Not Optimistic

Equity Bottom-Up

<ul>
<li>WuXi XDC announced a voluntary conditional cash offer to acquire all issued shares of BioDlink at HK$4.00/share. We think this is a done deal and the Offer is attractive.</li>
<li>The acquisition is expected to be completed in early 2026. Therefore, XDC's 2025 financial results will not affected, and the 2026-2027 periods will benefit from capacity release and synergy effects.</li>
<li>WuXi XDC has a growth rate higher than the industry (net profit CAGR 48% in 2025-2027 based on forecast). Therefore, it can enjoy a valuation premium, with decent upside ahead.</li>
</ul>


WuXi XDC announced a voluntary conditional cash offer to acquire all issued shares of BioDlink at HK$4.00/share. We think this is a done deal and the Offer is attractive.
The acquisition is expected to be completed in early 2026. Therefore, XDC's 2025 financial results will not affected, and the 2026-2027 periods will benefit from capacity release and synergy effects.
WuXi XDC has a growth rate higher than the industry (net profit CAGR 48% in 2025-2027 based on forecast). Therefore, it can enjoy a valuation premium, with decent upside ahead.


WuXi XDC (2268 HK) To Acquire BioDlink (1875 HK) - A Done Deal; A New ADC Overlord Will Emerge