Core Viewpoint - The article discusses the recent developments of Vili Biotech, a company focused on T-cell engagers (TCE), highlighting its market positioning, clinical advancements, and strategic decisions in the competitive biotech landscape [2][3]. Group 1: Company Overview - Vili Biotech completed its IPO in July 2023, becoming the first TCE-focused company listed in Hong Kong, with a market capitalization of approximately HKD 11.34 billion [2]. - The company has positioned itself in the less mainstream TCE sector, which connects T-cells to cancer cells, despite the associated risks such as cytokine storms and neurotoxicity [2][4]. Group 2: Market Performance - Vili Biotech's stock saw a significant increase of 127% shortly after its IPO, with retail subscriptions reaching a record 3,494.8 times, indicating strong market interest [3]. - The company aims to avoid the "overnight success" narrative, focusing instead on long-term development and the quality of its research pipeline [3]. Group 3: TCE Technology Insights - TCEs are gaining traction in the immunotherapy field, particularly for blood cancers, but are less recognized compared to antibody-drug conjugates (ADCs) [4]. - The first TCE drug to surpass USD 1 billion in sales is Amgen's Blincyto, which targets leukemia, with projected sales exceeding USD 1.2 billion in 2024 [4]. Group 4: Clinical Development - Vili Biotech has six innovative drug candidates in clinical stages, with LBL-024 being the closest to market, targeting advanced neuroendocrine carcinoma [7]. - The company employs a "small to large" clinical strategy, starting with niche indications and expanding to broader cancer types [8]. Group 5: Financial Strategy - The company currently has around RMB 2 billion in funds, sufficient to support its R&D plans for the next 4 to 5 years, with no immediate plans for additional financing [10]. - Vili Biotech emphasizes the importance of financial preparedness in the cyclical biotech industry, having adjusted its fundraising strategy during a downturn in 2021 [10].

Core Viewpoint - The company, Weili Zhibo, has successfully positioned itself in the T-cell engager (TCE) segment of the biotech industry, which is less mainstream compared to antibody-drug conjugates (ADC), and aims to create real value in innovative drugs rather than chasing trends [5][6][7]. Company Overview - Weili Zhibo completed its IPO on July 25, 2023, becoming the first TCE-focused company listed in China, with significant market interest reflected in a subscription rate of 3494.8 times for retail investors and 40.8 times for institutional investors [5][6]. - The company has a pipeline of six innovative drug candidates, with the closest to market being LBL-024, targeting advanced neuroendocrine carcinoma, expected to submit for approval in Q3 2026 [10][12]. Market Positioning - The TCE technology is gaining traction in the immunotherapy space, particularly for blood cancers, but remains less recognized than ADCs. The company believes that TCEs and ADCs serve different purposes and can coexist in the market [7][8]. - The first TCE drug to surpass $1 billion in sales is Amgen's Blincyto, which highlights the potential of this segment despite the challenges faced by other companies in the field [8]. Clinical Development - Weili Zhibo's LBL-034 has shown promising clinical trial results, achieving a 90% objective response rate in patients with relapsed/refractory multiple myeloma, outperforming the only approved competitor [9][10]. - The company plans to expand its focus from niche indications like neuroendocrine carcinoma to larger cancer types, including small cell lung cancer and non-small cell lung cancer, to create a broad-spectrum oncology portfolio [12][14]. Financial Strategy - The company currently has approximately 2 billion RMB in funds, sufficient to support its R&D plans for the next 4 to 5 years without immediate need for additional financing [16][17]. - Weili Zhibo has engaged in a global licensing agreement with Dianthus Therapeutics, which could yield up to $38 million in upfront payments and over $1 billion in total deal value, indicating a strategic focus on business development [16]. Industry Outlook - The innovative drug market is experiencing a shift towards rational investment, with companies focusing on clinical data and development pipelines rather than speculative trends [6][18]. - The domestic market for innovative drugs in China is expected to grow significantly over the next decade, providing a supportive environment for companies like Weili Zhibo, even amid international challenges [17].