Antengene Aims to Raise $420 Million in Hong Kong IPO

So far, 10 cornerstone investors have subscribed for $179 million worth of shares in the IPO.
Anthony RussoNov 10,2020,15:37

Chinese cancer drug manufacturer Antengene is looking to raise as much as HK$2.78 billion ($420 million) in a Hong Kong IPO.

Thus far, Antengene has lured in 10 cornerstone investors, subscribing for $179 million of its stock, as Caixin Global reported today. That includes Fidelity Investments and Singapore sovereign wealth fund, which subscribed for $70 million and $20 million of the company’s shares, respectively.

Earlier, Antengene raised $238 million after completing three rounds of financing. The most recent round was led by Fidelity and valued the pharmaceutical firm at $726 million.

As Chinese companies continue to find an attraction to listings closer to home this year, Hong Kong’s financial hub has lured in a slew of healthcare firms. One of the latest to make its debut in the city was Simcere Pharmaceutical Group (HKEX: 02096), which raised roughly $461 million in its IPO earlier this month. The largest healthcare listing in Hong Kong this year was conducted by Tigermed Consulting (HKEX: 03347), which netted $1.38 billion.

Based in Shanghai, Antengene’s portfolio includes 12 cancer drug candidates. Thus far, the three-year-old pharmaceutical company has not commercialized any of its products but does have two in late-stage clinical trials.

One of its drug candidates, known as ATG-010, which treats lymphocytic carcinoma, endometrial carcinoma, multiple myeloma, and advanced liposarcoma, could soon be ready for commercialization. The drug candidate is anticipated to sell in China within the next two years and has received the green light from the U.S. Food and Drug Administration.

In the six months through June, Antengene incurred a net loss of 538 million yuan ($81 million).

The company will price its IPO on Thursday and expects to commence trading on the Stock Exchange of Hong Kong on Nov. 20.

Topics:Antengene, Simcere Pharmaceutical, Tigermed Consulting.