Hong Kong/China M&A/Events

Hong Kong/China M&A/Events

Henlius (2696 HK): The Spread Should Narrow After NDRC Approval

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Quiddity Research
Nov 25, 2024
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  • On the 24th June, Fosun Pharmaceutical (2196 HK) made a HK$24.60/share Offer, in cash, for H-shares not held in Shanghai Henlius Biotech (2696 HK). A scrip alternative was subsequently afforded.

  • This is a pre-conditional Offer, subject to NDRC, Mofcom and SAFE - followed by a Scheme-like vote for independent H-shareholders. Henlius has announced that NDRC approval has now been secured.

  • Trading at a massive gross spread of ~21.5% compared to ~10% just prior to China Traditional Chinese Medicine (570 HK)'s capitulation. This is excessive.

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