Shares of WuXi AppTec Co. Ltd. (02359) plummeted by 16.74% on Monday, October 8th, after the company announced that it is assessing options for its cell and gene therapy manufacturing business, WuXi Advanced Therapies (WuXi ATU).
In a filing with the Hong Kong Stock Exchange, WuXi AppTec acknowledged that there is uncertainty as to whether the company will eventually decide to dispose of WuXi ATU or explore other options to retain and continue its operations. The company stated that it is currently assessing the matter and has not formed any decisions regarding the future of WuXi ATU.
The announcement has raised concerns among investors about the potential restructuring or divestment of the WuXi ATU business, which specializes in cell and gene therapy manufacturing. Analysts have expressed mixed views on the impact of this move on WuXi AppTec's overall operations and profitability, as the cell and gene therapy sector is considered a key growth area for the company.
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