WuXi shares rise after US lawmaker quits

Shares of WuXi Biologics Cayman (2269) and its sister company WuXi AppTec (2359) gained in Hong Kong after a US lawmaker sponsoring a bill that would block the two companies from federal contracts said he will leave the House next month.

WuXi Biologics and WuXi AppTec rose 7.5 percent and 4.9 percent respectively in Hong Kong after Republican Congressman Mike Gallagher, chairman of a high-profile select committee on China, said he will quit Congress.

The Biosecure Act, introduced in January, has injected an element of uncertainty for Chinese stocks already weighed down by the country's sluggish economy. If passed, it may prevent WuXi Biologics and WuXi AppTec from accessing US government contracts.

This came as Sinopharm (1099) said its net profit rose 6 percent to 9 billion yuan (HK$9.89 billion) due to the cost control. Sinopharm raised the final dividend to 0.87 yuan per share.

Separately, CSPC Pharmaceutical (1093) said its Semaglutide injection, which is used to help control diabetes and weight loss, has been approved by Chinese authorities to commence a clinical trial in China, paving the way for its launch.