Understanding the Market | JACOBIO-B rose over 7% during the session as the company divests non-core projects to focus on its core pipeline of innovative oncology drugs

JACOBIO-B rose over 7% during the trading session, and as of the time of writing, it is up 6.12%, priced at HKD 7.8, with a transaction volume of HKD 23.9374 million. In terms of news, JACOBIO previously announced that it has signed a capital increase and equity transfer agreement with Haisong Capital and an industrial partner. According to this agreement, Haisong Capital will acquire 80% of the equity of JACOBIO's subsidiary, JACOREKANG, with an initial payment of RMB 125 million and a milestone payment of RMB 75 million. After completion, JACOBIO's stake in JACOREKANG will be reduced to 10%. The announcement stated that this transaction aligns with the group's strategic development focused on key pipeline products in oncology targeting different critical cellular pathways (including KRAS, MYC, P53, and tumor immunity), optimizing capital allocation, fully ensuring the development of core oncology pipeline projects, achieving strategic focus, enhancing organizational efficiency, while retaining future project value through a risk-sharing model. The consideration for the equity transfer (after deducting various taxes and fees) is intended to be used for the research and development, production, and commercialization of the company's Pan-KRAS inhibitors and other innovative oncology projects