Tigermed, China's Largest CRO, Readies Hong Kong IPO

The clinical contract research organization, with sites in China and across the globe, may soon lift off in Hong Kong's largest health listing of 2020.
Capitalwatch StaffJul 17,2020,13:00

Hangzhou Tigermed Consulting, a clinical research service provider, has started the countdown to its Hong Kong public offering that could be worth up to $1 billion.

Tigermed provides clinical trial solutions and pre-clinical to post-approval lab services for drugs and medical devices. In addition to China, it has 15 sites overseas, including in the Asia-Pacific region, North America, and Europe, its preliminary prospectus states. The company boasts serving China’s top drug developers, as well as a number of multinational clients.

For 2019, Tigermed scored revenues of 2.8 billion yuan, up 22% from the preceding year. Its net profit, according to the report, rose to 974.9 million yuan last year. In 2019, it has provided services to 1,898 clients worldwide.

In a statement on the company website, Tigermed's chairman, Dr. Xiaoping Ye, says, "At Tigermed we take pride in the work we do, thanks to the clear goal of providing our clients with clinical development support that facilitates accelerated drug development, eventually saving lives."

The company, China’s largest in biopharma R&D market, may kick off its subscription period as early as next week, according to the South China Morning Post.

The listing would be a secondary one for Tigermed, trading in Shenzhen since 2012. On Friday, Tigermed’s stock (SHE: 300347) ended 0.5% higher, at 107.74 yuan per share. This year, Tigermed has risen more than 70% in trading as Covid-19 boosted health stocks across the board.

Tigermed’s preliminary prospectus lists Bank of America Securities, Haitong, CLSA, and CICC as joint sponsors on the Hong Kong offering.

According to Bloomberg data, companies in the health sector have raised a cumulative $3 billion in Hong Kong this year.