US firm ArriVent’s plunge shows risks facing China’s biotech expansion into global markets

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ArriVent BioPharma shares fell nearly 47% after its phase 3 trial of firmonertinib failed to meet its primary goal. The drug was licensed from Shanghai Allist Pharmaceuticals, and the result highlights risks for Chinese biotech companies seeking to expand internationally.

US firm ArriVent BioPharma’s shares plummeted after a late-stage trial failure involving a cancer drug licensed from China, a setback that analysts said highlighted the challenges facing Chinese biotech companies expanding overseas. New York-listed ArriVent closed down nearly 47 per cent on Tuesday after reporting that its cancer treatment firmonertinib failed to meet its main goal in a phase 3 trial. Firmonertinib was originally developed by Shanghai Allist Pharmaceuticals to treat non-small...