KB Securities said on the 10th that Hanmi Pharmaceutical(128940) proved its pipeline competitiveness through a technology transfer agreement with Roche. It raised the target price by 12.1% to 650,000 won from 580,000 won and maintained its Buy rating. The previous session's closing price was 494,500 won.
According to KB Securities, Hanmi Pharmaceutical recently signed a technology transfer agreement with Roche worth a $190 million upfront payment and up to $2.3 billion. The upfront payment is expected to flow in within the third to fourth quarter of this year, and additional R&D momentum remains valid, it said.
Shin Ji-hoon, an analyst at KB Securities, said, "HM17321 is a pipeline that simultaneously confirmed weight loss and muscle gain effects in preclinical monotherapy and combination therapy," and noted, "From Roche's perspective as a latecomer, it will develop HM17321 as a key option as a differentiation point for penetrating the obesity market."
KB Securities estimated HM17321's sales in the fifth year after launch at $1.75 billion. It said an upward revision of the estimate is possible if future indications expand to geriatric diseases or clinical outcomes are proven.
Shin said, "In addition to the launch of Efpeglenatide within the year, the possibility of technology transfer for HM15275 and Efeglucagon remains valid," and explained, "We value Hanmi Pharmaceutical's sum-of-the-parts new drug assets at 3.5 trillion won."