Luye slides to near 6-month low on plan to issue $150 mln exchangeable shares for Boan unit

Shandong Boan Biotechnology

21/11/2025 05:24

** Shares of Chinese oncology and cardiovascular system drugs maker Luye Pharma Group Ltd 2186.HK slip 5.2% to HK$2.91, their lowest level since June 6

** Stock marks the biggest one-day drop since Oct 17

** Shandong-based Luye plans to issue $150 mln Exchangeable Preference Shares, which are exchangeable into 100.5 mln shares of Shandong Boan Biotechnology 6955.HK at HK$11.718 apiece

** Luye owns 360.6 mln shares, or 57.94% stake, of Boan

** The issuance of the Exchangeable Preference Shares will provide the company with immediate access to cash funding while maintaining strategic flexibility, and the proceeds will be used for working capital - Co

** Shares of Boan fall 5% to HK$10.4, the lowest point since Nov 12

** YTD, Luye stock up 35.5%, Boan shares up 13.6%, Hang Seng Biotech Index .HSBIO up 75.1%

 (Reporting by Donny Kwok)

 ((donny.kwok@thomsonreuters.com))