This article only represents the author's own views.
Everest Medicines Ltd. (1952.HK) may share the name with the world’s tallest mountain, but lately the innovative drug maker has skidded to one low after another on a string of bad news. The latest in that string was the company’s announcement last week of poor results for the first half of the year, followed just two days later by its CEO’s resignation without a named successor. Just a week earlier Everest also came under fire after it announced selling the rights for one of its most promising drugs. With so much bad news, it’s no surprise investors have been dumping the stock lately, sending it to a new rock bottom.
Listed in Hong Kong in October 2020, Everest mainly operates using a “license-in” model that sees it license China rights for drugs developed by other companies. Of the more than 10 drugs in its portfolio, its breast cancer drug Sacituzumab Govitecan is its only product approved for sale in China.