This article was released as Pharm Edaily Premium Content on May 15, 2025, at 7:40 AM.

[Seok Ji-hoen, Edaily reporter] Shares of South Korean biotech firm Biosolution surged Tuesday following positive results from a U.S. Phase 2 clinical trial and the announcement of a stock bonus. Meanwhile, FromBio, recently linked to political themes, also posted strong gains. Medical artificial intelligence company Lunit slumped on market rumors of a planned capital increase.

Clinical Momentum and Stock Bonus Lift Biosolution

According to MP Doctor (formerly Market Point) by KG Zeroin, Biosolution shares closed at 34,050 won, up 5,750 won or 20.32% from the previous trading day. The sharp rally followed the company’s announcement of a 200% stock bonus on Monday and a report from PharmEdaily analyzing Biosolution’s Phase 2 trial data.

Biosolution stock performance (Source: KG Zeroin MP Doctor)

PharmEdaily published a pay-to-read article comparing the efficacy of Biosolution’s knee cartilage cell therapy, Cartilife, with MACI, a U.S. product marketed by Vericel that dominates the American cartilage regeneration market. The report highlighted Cartilife’s promising clinical outcomes and discussed plans for early commercialization. MACI, the only FDA-approved knee cartilage cell therapy in the U.S., generated approximately 260 billion won (around $190 million) in revenue last year.

The company’s board approved the stock bonus on May 13, setting May 28 as the record date and June 19 as the listing date for the new shares. Biosolution stock had already jumped 11.20% on the day of the announcement.

A company spokesperson said, “This stock bonus is a shareholder-friendly move aimed at rewarding our long-term investors. Despite recent clinical and business milestones, we believe our market valuation does not fully reflect the company’s progress, and the lack of liquidity has been an ongoing issue.”

FromBio Rides Political Tailwinds, E-Commerce Growth

Health supplement maker FromBio closed at 2,930 won, up 450 won or 18.15%. The stock has been on a six-day winning streak since May 7, amid its ties to the upcoming presidential election.

FromBio stock performance (Source: KG Zeroin MP Doctor)

Industry sources confirmed that Kang Choong-kyung, an outside director at FromBio, has joined the campaign of Democratic Party candidate Lee Jae-myung. Kang will serve as a deputy head of the party’s public livelihood committee and help formulate policies to support small businesses and the biotech industry.

In addition to political momentum, FromBio is seeing improved business performance. The company reported stronger orders in its e-commerce channel and rising demand for OEM health supplements. It recently secured an order for a liquid multivitamin product from a U.S. client, with exports to 34 countries starting this month.

Domestically, joint health supplements supplied to a major client identified only as “Company J” have grown from 100,000 units in November to 300,000 units in March.

“The operating loss has narrowed compared to Q1 last year,” a company representative said. “Shifting away from low-margin home shopping sales and focusing on e-commerce has driven better revenue and profitability.”

Lunit Denies Capital Increase Rumors Amid Stock Slump

Lunit closed at 50,200 won, down 4,200 won or 7.72%, after market rumors spread that the company was planning a capital increase to raise operating funds. The stock had fallen more than 10% during intraday trading.

Lunit stock performance (Source: KG Zeroin MP Doctor)

Lunit quickly denied the speculation via a press release and a post on its official blog.

“The company has no plans to conduct a capital increase for operating funds,” Lunit stated, calling the rumor groundless. “This aligns with the commitment we made to shareholders at this year’s general meeting.”

Lunit emphasized that it has sufficient cash reserves and would only raise funds in a way that does not undermine shareholder value, explicitly ruling out shareholder-allotted capital increases.

The company also reported record-high quarterly earnings in Q1 and said it remains on track with its strategic roadmap.

CEO Brandon Suh said, “As we aim to become a global leader in medical AI, we are working tirelessly to achieve our vision. We urge investors not to be swayed by false rumors.”

석지헌 (cake@edaily.co.kr)

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