Hong Kong-listed Immunotech Biopharm (06978.HK) saw its shares collapse nearly 27% in Monday's session before the exchange ordered a trading halt, signaling potential negative news for the speculative drug developer.
Trading was suspended at 1:00 pm local time "pending the release of an announcement," the company confirmed in a filing.
Before the halt, the stock had plunged 26.69% to HKD2.28, erasing a significant portion of its market value on a turnover of HKD11.142 million.
The dramatic sell-off underscores the high-risk nature of investing in clinical-stage biotech firms, where valuations are sensitive to clinical trial data, regulatory news, and financing concerns. For investors, it's a harsh reminder that a single, undisclosed event can wipe out a quarter of a company's value in a single session, a risk recently highlighted by an SEC insider trading case involving another biotech firm.
This article is for informational purposes only and does not constitute investment advice.
