HLB(71,500 +13.31%)And HLB Life Science(18,400 +18.33%)Announced on the 26th that it will provide a 100% free increase. Existing shareholders will receive one new share for free per share.
The two companies plan to use stock issuance surcharges of 370 billion won and 280 billion won, respectively, for free capital increase. HLB will use KRW 26.5 billion and HLB Life Sciences will use KRW 23.5 billion for this grant, which explains that there will be enough room for a free increase. The reference date for the allocation of new shares for this uncertified new stock is the 16th of next month, and the expected listing date for new shares is April 1st.
A company official said, “We were unable to pay dividends due to the development of new drugs for a long period of time, and in particular, in the process of delaying the application for new drug approval (NDA) due to Corona 19, unconfirmed investigations by the financial authorities were reported, and the stock price plummeted.” “It was decided in terms of doing everything the company can do for the shareholders who waited for it.” It is intended to enhance shareholder value.
Regarding the investigation of the financial authorities, he said, “I am faithfully calling for the allegations of false disclosure, and I am confident that it will be resolved eventually.”
HLB is developing riboseranib, an oral anticancer drug, through its US subsidiary Elevaterapeutics. NDA data is being prepared as a treatment for end-stage gastric cancer, and the first phase of global liver cancer clinical phase 3, adenoid cystic cancer phase 1, and gastric cancer phase 2 are in progress.
Another US subsidiary, Immuno-Therapeutics, is currently conducting clinical trials for malignant glioblastoma treatment.
HLB Life Science is in the first phase of riboceranib liver cancer in Korea and phase 3 of breast cancer clinical trials of Pyrotinib, a target anticancer drug that secured copyright in September last year.
The HLB Group’s cash holdings amount to 400 billion won. It is said that it is sufficient to use it as a fund for research and development of new drugs currently underway.
Meanwhile, HLB Group signed a business agreement with the Myongji Medical Foundation to cooperate in the overall research and commercialization of the medical industry. The two organizations agreed to work together on joint research and development and technology exchange related to the medical industry, joint cooperation for commercialization, joint use of equipment and facilities, and exchange of R&D personnel.
The Myongji Medical Foundation is building an integrated medical system with three general hospitals, one nursing hospital and affiliated clinics, and two nursing homes, the company said.
Reporter Minsoo Han [email protected]
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