CSPC Pharmaceutical Set to Benefit From AstraZeneca Agreement -- Market Talk

Dow Jones
2025/06/16

0617 GMT - CSPC Pharmaceutical stands to benefit from its strategic research collaboration agreement with AstraZeneca, Nomura's Jialin Zhang says in a note. Under the agreement, the Chinese company will discover and develop novel oral small molecules, as selected by AstraZeneca, from CSPC's AI research and development platform. CSPC will receive an upfront payment of US$110 million from AstraZeneca, and is eligible to receive up to US$1.62 billion of potential development milestone payments, and up to US$3.6 billion in sales milestone payment plus potential single-digit royalties. The brokerage lifts its 2025 and 2026 earnings estimates for CSPC by 20.3% and 24.5%, respectively. It raises the stock's target price to HK$10.22 from HK$8.02 with an unchanged buy rating. Shares are last at HK$8.65. (ronnie.harui@wsj.com)

 

(END) Dow Jones Newswires

June 16, 2025 02:17 ET (06:17 GMT)

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