[Market Focus] ShinlaJen Surges Over 20% on FDA Clinical Approval and Patent Acquisition

ShinlaJen has surged for two consecutive trading days following news that it received approval from the U.S. Food and Drug Administration (FDA) to amend its clinical trial plan for an anti-cancer drug.

As of 9:30 a.m. on April 23, ShinlaJen was trading at 3,960 won, up 24.92% (790 won) from the previous day.

The buying momentum appears to have been driven by news of the FDA’s approval for the amendment to the anti-cancer drug clinical trial plan, as well as the acquisition of rights to a targeted anti-cancer drug candidate.

Previously, ShinlaJen announced that it had received FDA approval to amend its Investigational New Drug (IND) application, allowing it to expand clinical trials of the anti-cancer drug BAL0891 to include patients with acute myeloid leukemia (AML).

The company also stated that it had decided to acquire the substance patent and biomarker patent rights for BAL0891 from the Dutch biotech company Crossfire Oncology Holdings.

As a result, ShinlaJen’s stock price rose by 29% the previous day.

Meanwhile, the contract amount for this deal is reported to be 2 million Swiss francs (approximately 3.5 billion won). Analysts expect that this contract will significantly reduce milestone payments.