Sinopharm and Moutai drive the Hang Seng Index higher.

The Hang Seng Index, a key benchmark stock index in Hong Kong, closed up 1.8% on Monday at 27,027.16 points, driven by gains in pharmaceutical manufacturer Shinda Biopharmaceuticals and toy maker Pudumart. Shinda Biopharmaceuticals led the gains, closing up 7.4% after the company announced signing of an agreement with American pharmaceutical giant Lilly, which could lead to potential milestone payments of up to $8.5 billion. Citigroup analysts said in a report that this partnership could help drive global expansion for the Chinese pharmaceutical company. Meanwhile, Pudumart closed up 5.8% after its CEO recently stated that its flagship product, Labubu dolls, is expected to exceed sales of 100 million units by 2025. Other stocks that saw gains include Zijin Mining, up 5.6%, and China Ping An, up 4.9%.