Wuxi AppTec-Related Shares Tumble on Proposed U.S. Bill Aimed at Chinese Biotech Companies

By Sherry Qin

Shares of Wuxi AppTec and Wuxi Biologics tumbled Friday amid concerns a proposed U.S. bill would restrict medical providers from business with certain Chinese biotechnology companies.

In late afternoon in Hong Kong, Wuxi Biologics (Cayman) fell 18% to 24.55 Hong Kong dollars (US$3.14) and Wuxi AppTec declined 19% to HK$62.61. Shares of Wuxi AppTec listed in Shanghai fell their daily limit of 10% to end at 65.95 yuan (US$9.24).

Wuxi Biologics was established as part of Wuxi Apptec and spun off in 2015.

Members of a bipartisan House Select Committee introduced a bill on Thursday barring contracts with certain Chinese biotech companies due to their connection with China's People's Liberation Army.

The proposed legislation would restrict federally funded medical providers from using biotech companies of concern, including WuXi Apptec.

Write to Sherry Qin at sherry.qin@wsj.com

Corrections & Amplifications

This article was corrected at 0824 GMT. The original version incorrectly said Wuxi AppTec's shares declined 19% to HK$15.10. Shares declined 19% to HK$62.61.

(END) Dow Jones Newswires

January 26, 2024 03:04 ET (08:04 GMT)

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