By Clarence Leong

Shares of Hong Kong-listed biotechnology companies fell sharply Wednesday after media reports of imminent U.S. sanctions against some companies in the sector.

Wuxi Biologics (Cayman) Inc. skidded 19% to 79.10 Hong Kong dollars, its lowest closing level in a year, while WuXi AppTec Co. slid 19%. BeiGene Ltd., which made its trading debut in Shanghai with a third global listing, retreated 7.6% in Hong Kong. Innovent Biologics Inc. declined 9.9% and Genscript Biotech Corp. lost 11%.

The declines come after the Financial Times reported that the U.S. Commerce Department on Thursday is expected to place some Chinese companies involved in biotechnology on its entity list, which is designed to limit access to key U.S. exports.

The Wall Street Journal reported last week that U.S. officials were considering adding more Chinese technology companies to that list and to a U.S. Treasury Department list banning U.S. investment in the coming months amid rising competition with China.

The Hang Seng Hong Kong-Listed Biotech Index slumped 7.1% to 1669.71. Weakness in the biotech sector dragged the benchmark Hang Seng Index lower, as it gave up morning gains to close 0.9% lower at 23420.76.

Write to Clarence Leong at clarence.leong@wsj.com

(END) Dow Jones Newswires

12-15-21 0402ET