Antengene, Sino Biopharmaceutical Shares Jump After New Drug Licensing Deals

By Jason Chau

Shares of two large Chinese drugmakers rose after they each announced new licensing agreements with European pharmaceutical majors.

Antengene Corp announced Wednesday in an exchange filing it has granted Belgium drugmaker UCB an exclusive, worldwide license to develop, manufacture and commercialize an autoimmune disease treatment, as well as access to its related manufacturing technology.

The Shanghai-based firm, which specializes in developing innovative drugs, plans to submit clinical trial applications for the treatment, temporarily labeled ATG-201, in China and Australia in the first quarter of this year.

Antengene will receive $60 million upfront and up to $20 million in near-term milestone payments. It is also eligible for up to $1.1 billion in future contingent milestone payments, as well as tiered royalties on net sales of the therapy.

Antengene's stock surged as much as 11% in Hong Kong before paring gains to last trade 6.6% higher by Wednesday midday.

Separately, Sino Biopharmaceutical said Wednesday that its subsidiary, Chia Tai Tianqing Pharmaceutical Group, has entered into an exclusive licensing agreement with French pharmaceutical giant Sanofi to manufacture and commercialize its new anti-inflammatory drug, rovadicitnib.

The deal could bring Chia Tai up to $1.4 billion, including $135 million upfront and potential milestone payments. The company is also eligible to receive tiered royalties up to double-digit percentage based on the drug's annual net sales.

Sino Biopharmaceutical's Hong Kong-listed shares jumped 1.9% in early trade.

Chinese biopharmaceutical stocks have rallied over the past year, as domestic drugmakers secured a string of major licensing agreements with global biopharma giants, underscoring China's rapid progress in drug discovery and development.

Out-licensing activity by Chinese pharmaceutical companies is expected to stay strong, supported by sustained investment in research and development, as well as enduring cost and efficiency advantages over overseas peers, said Jialin Zhang, Nomura's China healthcare analyst, in his 2026 industry outlook.

Write to Jason Chau at jason.chau@wsj.com

(END) Dow Jones Newswires

March 03, 2026 23:48 ET (04:48 GMT)