[Edaily Reporter Kim Saemi] On the 4th, in the biotech and healthcare sector, #DNDPharmatech surged on expectations of a technology transfer related to metabolic dysfunction-associated steatohepatitis (MASH), making its presence felt amid a broader downturn in biotech stocks. In contrast, #AimedBio plummeted due to concerns over the lifting of the six-month lock-up period following its IPO, while #ImmunOncia saw a flood of panic selling as its stock price fell below the issue price of its rights offering.

DND Pharmatech: Expectations for MASH Big Deal Rise… CEO Lee Seul-ki’s Return Announced

According to KG Zeroin MP DOCTOR (formerly Marketpoint) on that day, DND Pharmatech closed at 94,000 won, up 9,900 won (11.77%) from the previous day.

D&D Pharmatech held an investor relations (IR) briefing on this day to announce the results of the 48-week tissue biopsy from the Phase 2 MASH clinical trial of "Zabopegdutide" (development code name DD01). It is presumed that the stock price was driven up by growing expectations for a technology transfer, as all three key indicators achieved statistical significance.

In particular, DND Pharmatech emphasized the potential for a technology transfer agreement with favorable terms with a major pharmaceutical company, citing recent major deals in the global MASH sector.

For example, in May of last year, GSK agreed to acquire Boston Pharmaceuticals’ MASH candidate “efimosfermin” for up to $2 billion. In September of last year, Roche signed an agreement to acquire 89Bio’s “pegozafermin” in Phase 3 clinical trials for up to $3.5 billion, and in October of the same year, Novo Nordisk agreed to acquire Aker Therapeutics’ “efruxifermin” in Phase 3 clinical trials for up to $5.2 billion.

DND Pharmatech’s confidence appears to stem from its favorable tissue biopsy data compared to competing drugs. DND Pharmatech’s investor relations materials state that DD01 achieved statistical significance across three key tissue biopsy endpoints: resolution of MASH without worsening fibrosis, improvement in fibrosis without MASH worsening, and the combined achievement of MASH resolution and fibrosis improvement. Based on this, the company explained that DD01 possesses competitiveness equal to or greater than that of the recently acquired FGF21-class candidate.

News that Lee Seul-ki, CEO of DND Pharmatech, will personally attend and present at the MASH Phase 2 clinical trial results briefing hosted by Kiwoom Securities in Yeongdeungpo-gu, Seoul, on the 11th also appears to have contributed to the stock price rise on this day.

A D&D Pharmatech official stated, “The IR session held today concluded with a detailed explanation of previously disclosed data,” adding, “CEO Lee is scheduled to attend the briefing on the 11th and disclose various additional details.”

Aimed Bio: Lock-up Period Expires Six Months After Listing… Overhang Concerns Resurface

Aimed Bio, a developer of antibody-drug conjugates (ADCs), saw its stock price plummet due to the burden of shares released from the lock-up period six months after its IPO.

AimedBio, which went public last December, closed at 27,700 won, down 6,050 won (17.93%) from the previous day. This is believed to be due to renewed concerns over an overhang as the six-month lock-up period ended.

Aimed Bio’s mandatory holding period was lifted on the sixth month of its listing. According to the Korea Securities Depository, the number of shares released from the mandatory holding registration on that day was 885,411. At the time of the initial public offering (IPO), the total volume eligible for release after six months—including shares held by existing shareholders and those subject to mandatory holding commitments by institutional investors—was approximately 5.29 million shares, accounting for 8.25% of the total listed shares.

As the stock price remains high relative to the offering price (11,000 won), the possibility of financial investors (FIs) and institutional investors taking profits appears to have weighed on investor sentiment. In particular, with investor sentiment toward biotech stocks generally weakening recently, the timing of the lock-up release is seen as having increased short-term selling pressure.

An official from Aimed Bio stated, “There are no specific internal company issues or separate negative factors,” adding, “It appears that some profit-taking selling emerged today as the lock-up period ended, coinciding with the deterioration of investment sentiment in the biotech sector.”

ImmunOncia: Stock Price Falls Below Rights Issue Price… Plunges 28% in 4 Trading Days

ImmunOncia saw a flood of panic selling today as its stock price fell below the final issue price of its rights offering.

ImmunOncia’s stock price has fallen 28% over the past four trading days, from 6,150 won to 4,425 won. In particular, the closing price on this day was 4,425 won, down 825 won (15.71%) from the previous day, falling below even the final issue price of the rights offering, which was 4,860 won. Trading volume also surged to 1,883,495 shares, which is 5.3 times the average trading volume over the previous three trading days (approximately 355,000 shares).

Previously, ImmuneOncia had pursued a 120 billion won rights offering followed by a public offering of unsubscribed shares, less than a year after its initial public offering (IPO). This marked a large-scale additional fundraising effort just nine months after raising 32.9 billion won in public offering proceeds during its IPO last May. Controversy also arose when it was reported that the largest shareholder, #Yuhan Corporation, would participate with an initial investment of around 10 billion won. Although Yuhan Corporation later increased its participation to 15 billion won, criticism poured in that the participation rate remained low relative to the allocated shares.

ImmunOncia avoided a public offering of unsubscribed shares by recording a subscription rate of 104.29% among existing shareholders. However, as the final issue price dropped from the planned 7,130 won to 4,860 won, the amount raised also decreased by 32% from 120 billion won to 81.8 billion won.

Consequently, concerns are growing in the market about whether the company can proceed with commercialization preparations for its immuno-oncology candidate “IMC-001” as planned with only 81.8 billion won. Although the company has stated that there will be no additional fundraising, uncertainty remains regarding future funding needs, given that the commercialization target date is 2031. In particular, since the funding plan is premised on a technology transfer next year, concerns have been raised about whether the actual contract will be finalized.

A financial investment industry official noted, “Since the technology transfer is not a confirmed event, it is difficult for the market to fully trust the plan to cover the funding shortfall through a license-out (L/O).”

Edaily attempted to contact ImmuneOncia several times to confirm the background behind the recent sharp drop in its stock price and to verify its funding execution plan following the rights offering, but was unable to reach the company.