Innovent Biologics (01801) saw its shares plummet 8.07% during early trading on Friday, marking a significant decline for the biotechnology company.

The sharp drop followed news that the company's founder, Chairman, and CEO, Dechao Yu, sold 1.353 million shares on May 11, 2026, at an average price of HK$89.362 per share, raising approximately HK$121 million. Following this transaction, his shareholding decreased to 7.49%, though he remains the largest single shareholder.

Despite the negative market reaction to the insider selling, China Post Securities noted that Innovent Biologics achieved its first full-year profit in 2025, signaling that its business model has proven successful. The company's gross profit margin benefited from economies of scale and improved production efficiency, while cash and cash equivalents stood at RMB 24.3 billion, providing a solid foundation for long-term development.