KOSDAQ-listed Kolon TissueGene was strong in early trading on the 28th. Buying appears to be flocking in as the securities industry sharply raised its target price and positive outlooks emerged on the results of a new drug clinical trial.
As of 10:13 a.m. that day, Kolon TissueGene was trading at 83,300 won, up 14,400 won (20.90%) from the previous trading day.
Korea Investment & Securities said that foreign investors are giving high marks to the clinical and commercialization success potential of Kolon TissueGene's cell and gene therapy "TG-C" (formerly Invossa) for osteoarthritis. Foreign investors' net purchases of Kolon TissueGene this month amount to 850,000 shares. That is large compared with institutions' net purchases of 150,000 shares.
Wi Hae-joo, a researcher at Korea Investment & Securities, said, "Toward year-end, there will be the phase 3 readout of Eli Lilly and Company's retatrutide in knee osteoarthritis, and big pharma's interest is rising," and added, "If a therapy that helps relieve symptoms emerges in an indication that has long been untapped, interest in TG-C, a candidate for a disease-modifying osteoarthritis drug (DMOAD), will inevitably grow."
Kolon TissueGene will announce related phase 3 results in July next year. Korea Investment & Securities cited the following as Kolon TissueGene's upcoming momentum (upside potential): ▲ attendance at the JPM Health Conference in January next year ▲ completion of the first phase 3 in March ▲ results announcement in July ▲ application for U.S. Food and Drug Administration (FDA) approval in 2027.
The researcher said, "If we look ahead to TG-C's clinical success next year and commercialization success from 2028 onward, there is no need to be wary of buying at the current share price," and raised the target price by 50% to 150,000 won from 100,000 won.