DJ EQS-News: HSBC Initiates Sirnaomics (2257.HK) at Buy with Target Price of HKD140.00; 91.5% Upside
EQS-News / 10/02/2022 / 18:12 UTC+8 HSBC Initiates Sirnaomics (2257.HK) at Buy with Target Price of HKD140.00; 91.5% Upside HSBC initiates coverage of Sirnaomics at Buy, with a target price of HKD140.0 which implies around 92% upside as of 2 February 2022. HSBC said, Sirnaomics is a differentiated Chinese biotech with "first-in-class" innovative capabilities in a rapidly expanding category of drugs known as RNA-interference (RNAi) therapeutics. It (1) has built an RNAi pipeline of 16 candidates covering oncology, fibrosis, antiviral diseases and cardio-metabolic diseases, with two lead products at the clinical stage; (2) is one of the few clinicalstage RNAi therapeutics biopharmaceutical companies with an in-house developed delivery platform that expands its target reach, enhances drug delivery, and potentially solves the key bottleneck in RNA delivery; and (3) has an experienced management team with global industry expertise. Sirnaomics has two key assets. RNAi therapeutics is already being used for rare diseases, but HSBC believes the market is set to expand rapidly, as these drugs are safe, cost effective, and relatively simple to manufacture, while they are increasingly able to target a range of more common diseases. In HSBC's view, Sirnaomics is well positioned, as its key pipeline includes (1) STP705 (Phase IIb), its lead asset, which has proof of concept with Phase IIa data on squamous cell carcinoma treatment, and is expanding to keloid and liver cancer treatment; and (2) STP707, its siRNA therapy that treats liver cancer, with the potential to expand to lung cancer and liver fibrosis, and has started Ph I trials in the US. HSBC forecasts peak-year revenue of USD2.6bn for these two assets combined, coming mostly from the US. Sirnaomics has also developed a COVID-19 messenger RNA (mRNA) vaccine as well as a Factor XI anticoagulation drug (STP122G). Major potential catalysts in the coming 12 months: (1) STP705's data readout on Squamous Cell Carcinoma (isSCC), Basal Cell Carcinoma (BCC), Keloid scarless healing, and liver cancer; (2) STP707's initial data read-out for solid tumours; (3) IND filing for STP122G, STP908, and RIM730; and (4) new business development (BD), collaboration and license-out projects announced File: HSBC Initiates Sirnaomics (2257.HK) at Buy with Target Price of HKD140.00; 91.5% Upside
10/02/2022 Dissemination of a Marketing Press Release, transmitted by EQS Group. The issuer is solely responsible for the content of this announcement. Media archive at www.todayir.com
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(END) Dow Jones Newswires
February 10, 2022 05:12 ET (10:12 GMT)
