Carbios Investors Revolt Over China IP Risks as Shares Hit New Lows

Activist shareholder ADISECT demands board changes as Carbios shares hit 52-week low amid allegations Wankai gained unauthorized access to proprietary PET recycling technology.

A deepening governance battle at Carbios is compounding the selloff in its stock, with the French bioplastics company facing allegations that its Chinese joint venture partner may have gained unauthorised access to proprietary technology. The shares tumbled to a fresh 52-week low of €5.10 on Wednesday, bringing the year-to-date collapse to more than 56%.

The activist shareholder group ADISECT is demanding radical changes at the top ahead of the annual general meeting scheduled for late June. It has accused the board of failing to properly oversee the partnership with Wankai New Materials, particularly regarding the protection of intellectual property. According to ADISECT, Wankai has already filed a patent application in the PET recycling technology space that Carbios believes should have remained confidential.

“The entire investment case for Carbios rests on the industrial scaling of its enzymatic recycling process,” the group said in its call for written explanations from management. The controversy centres on what technological specifications were shared with the Chinese partner and whether adequate safeguards were put in place.

Operational delays are adding to the pressure. Carbios has pushed back the start-up of its planned factory in Zhejiang province to the first half of 2028. The delay also affects a planned €5 million capital injection from Wankai, which was originally due by mid-2026 but is now expected closer to the end of that year, subject to outstanding regulatory approvals in China.

Despite the turbulence, Carbios finished the 2025 financial year with €59 million in cash, enough to cover operating expenses for more than twelve months. That liquidity buffer buys management time but does little to address investor anger over strategy execution.

The stock’s technical indicators paint a picture of extreme bearishness. The relative strength index has sunk to around 22–23, deep into oversold territory. Yet fundamental scepticism about the company’s ability to deliver on its Chinese venture continues to overwhelm any rebound signal.

All eyes are now on the annual meeting, where management must balance pushing ahead with the Wankai partnership against convincing shareholders that Carbios’ core technology is not leaking out. Failure to provide credible answers could trigger a further escalation of the shareholder revolt.