FAST NEWS: AIM Vaccine’s loss balloons

The latest: Vaccine maker AIM Vaccine Co. Ltd. (6660.HK) said on Monday it expects to report a net loss of 1.25 billion yuan ($174 million) to 1.38 billion yuan for last year, roughly quadruple its loss from 2022.

Looking up: The company’s R&D spending rose significantly last year mainly due to the strong progress for its product pipeline, with five of its major core products now in Phase 3 clinical trials.

Take Note: The receding of the pandemic last year led the company to make a provisional impairment loss that will range from 1.65 billion yuan to 1.8 billion yuan related to the acquisition of its Liverna Therapeutics subsidiary.

Digging Deeper: Established in 2011, AIM Vaccine is the second largest manufacturer of non-Covid vaccines in China, with products targeting rabies, hepatitis A, hepatitis B and meningitis. The company filed to list on Shanghai’s Nasdaq-style STAR Market in 2020, but later abandoned that effort. In June 2021, it shifted its IPO destination to Hong Kong, but its application was rejected for two times before finally succeeding in 2022. At the end of last November, the company scored a milestone in the investment community with its selection as a constituent of the MSCI Global Small Cap Index.

Market Reaction: AIM Vaccine’s shares fell on Monday to close down 2.6% at HK$7.75 by the midday break. It now trades at the lower end of its 52-week range.

Translation by A. Au

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