In a landmark transaction within China's booming biopharma sector, Sino Biopharmaceutical (1177.HK) has acquired LaNova Medicines, a rising star in innovative drug development. The Hong Kong-listed pharmaceutical giant announced post-market on July 15th its agreement to purchase 95.09% equity in LaNova for up to $950 million (approximately ¥6.8 billion). After deducting LaNova's estimated cash reserves of $450 million, the net transaction value settles around $500 million.

This acquisition follows Sino Biopharmaceutical's earlier strategic investment during LaNova's Series C financing, where it secured 4.91% ownership. Post-deal completion, LaNova will become a wholly-owned subsidiary, significantly bolstering Sino Biopharmaceutical's oncology portfolio. The buyer's stock has surged 140% year-to-date, closing at HK$6.37 on July 15th – a three-year peak – with its market capitalization reaching HK$119.5 billion.

LaNova's cutting-edge pipeline features multiple potential best-in-class assets, including: • LM-108: The sole CCR8 monoclonal antibody holding dual breakthrough therapy designations • LM-305: A pioneering GPRC5D-targeting ADC licensed globally to AstraZeneca • LM-299: A PD-1/VEGF bispecific antibody partnered with Merck & Co.

Notably, LaNova has secured nearly $4 billion in international licensing deals within three years. Its $600 million agreement with AstraZeneca for LM-305 included $55 million upfront, while the Merck partnership for LM-299 commanded $888 million in prepayments plus milestones, totaling $3.288 billion. Both transactions occurred during preclinical stages, underscoring the assets' therapeutic promise.

The Shanghai-based biotech, founded in 2019, currently advances seven clinical-stage candidates and nearly twenty preclinical programs across four proprietary platforms. Its pipeline targets substantial markets, including multiple myeloma (over $30 billion globally) and next-generation immuno-oncology therapies (projected above $200 billion).

Sino Biopharmaceutical Chairman Xie Qirun emphasized that LaNova's "exceptional R&D capabilities and valuable pipeline will dramatically enhance our competitive edge in global oncology innovation," particularly in lung cancer, gastrointestinal malignancies, and autoimmune disorders.