CICC: First coverage of RuiBo Bio-B(06938) with an "Outperform Industry" rating, target price HKD 100

CITIC Securities APP has learned that China International Capital Corporation (CICC) released a research report stating that it has initiated coverage of ReBio Bio-B (06938) with an outperform industry rating. Based on DCF valuation, the bank sets a target price of HKD 100.0, representing a 44.9% upside potential from the company’s current stock price.

CICC’s main points are as follows:

ReBio is a global leader in small nucleic acid drug development, with an established and proven small nucleic acid drug development platform

Founded in 2007, the company has developed its own GalNAc liver-targeting RiboGalSTAR platform, progressing from liver targeting to extra-hepatic targeting; it also continuously iterates chemical modifications to enhance target specificity and sequence compatibility while reducing off-target effects, thereby upgrading efficacy and safety. As of the end of 2025, the company holds 473 patents and patent applications across major jurisdictions worldwide, building a comprehensive intellectual property portfolio. More importantly, beyond molecular design, the company’s R&D platform possesses full technological chain integration capabilities, covering the entire lifecycle from CMC manufacturing and early research to commercialization, ensuring efficient pipeline advancement.

ReBio is one of the Chinese small nucleic acid companies with the most clinical assets

As of the end of 2025, the company has seven siRNA candidates in clinical stages, four of which are in Phase II. RBD4059 (FXI), RBD5044 (ApoC3), and RBD1016 (HBV) are core assets. RBD4059 is the world’s first and fastest-advancing FXI siRNA drug for thrombosis, scheduled to start Phase IIb clinical trials in 2026, involving multiple thrombotic diseases. RBD5044 is the second globally to enter clinical development for ApoC3 siRNA, second only to Arrowhead. RBD1016 is being validated for druggability in HBV.

What sets this bank apart from the market?

The market is concerned about the druggability of FXI inhibitors. CICC believes that FXI inhibitors have already demonstrated druggability in indications such as stroke and post-knee replacement surgery. FXI siRNA is expected to overcome atrial fibrillation indications with higher target suppression rates.

Potential catalysts

Mapping of industry data for FXI inhibitors and ApoC3 siRNA, along with multiple Phase II clinical trial initiations and data readouts for ReBio’s small nucleic acid drugs.

Risks

Clinical trial data falling short of expectations, worsening competitive landscape, failure risks for similar target R&D within the industry, and cash flow pressures.