Citi: Initiate coverage on Shindah Biotech with a 'Buy' rating and a target price of HKD 55

Jinshi Data, November 5th, Citigroup released a research report stating that Sino Biopharmaceutical (01801.HK) announced the termination of the Fortvita subscription transaction. The company’s management stated at an investor conference on November 4th that the original intention of the transaction was to accelerate the development of the company’s overseas business, Fortvita. After the transaction was terminated, there is currently no further financing plan for Fortvita. Since the announcement of the transaction, the group’s stock price has fallen by more than 20%. Looking ahead, the bank believes that the group’s strong sales performance and overseas bed progress will sustainably restore investor confidence. Rating ‘buy’, target price of 55 Hong Kong dollars.