WuXi AppTec completes major asset divestment, boosts profits

WuXi AppTec announced the completion of its asset divestiture. Its wholly-owned subsidiary, Shanghai WuXi AppTec New Drug Development Co., Ltd., transferred 100% equity in Shanghai Kangde Hongyi Medical Clinical Research Co., Ltd. and Shanghai Yaotsunshi Medical Technology Co., Ltd. The transaction, valued at 2.8 bn yuan, saw the first installment of 1.54 bn yuan already received. The target companies are no longer included in WuXi AppTec's consolidated financial statements.

The divestiture, approved by the board on October 24, 2025, is projected to generate an after-tax net profit of approximately 960m yuan. This amount represents over 10% of the company's audited net profit attributable to parent company shareholders for the most recent period (2024). The company will process the investment income according to applicable accounting standards.

The change of registration with the market supervision authority for the target companies is expected to be finalized by December 31, 2025. Investors are advised to note the investment risk.