PEGBIO CO-B (02565) saw its shares surge by more than 15% at one point during the trading session. As of press time, the stock was up 6.29%, trading at HK$56.65 with a turnover of HK$9.94 million.

The rally follows the company's recent announcement granting UAE-based pharmaceutical R&D leader PDC FZ-LLC ("PDC") exclusive rights to develop, distribute, market, and commercialize its flagship product, Visepegenatide (PB-119), in the Middle East and Africa.

Visepegenatide (PB-119) is PEGBIO's self-developed once-weekly subcutaneous GLP-1 receptor agonist for treating type 2 diabetes and weight management. The company believes this partnership will leverage PDC's local expertise to accelerate the drug's development, registration, and commercialization in these regions, creating long-term value while bringing new hope to metabolic disease patients globally.

According to International Diabetes Federation (IDF) data, the Middle East and North Africa region has the world's highest adult diabetes prevalence at 16.2%. Digestive and metabolic drugs (including diabetes treatments) dominate the regional pharmaceutical market, accounting for 20.4% of total sales with 22.1% year-on-year growth in Q1 2025.

Meanwhile, the global weight management drug market has grown steadily from $99.7 billion in 2020 to $112.8 billion in 2024, with a 3.1% CAGR. Projections suggest it will reach $277.4 billion by 2034, with Middle East and Africa potentially becoming the largest demand region, expected to hit $10 billion by that year.