Joinn Laboratories Co.Ltd., one of the largest contract research organizations (CRO) specializing in pharmacology and toxicology studies for innovative drugs in China, is seeking a secondary listing in Hong Kong.
CITIC Securities Co., Ltd. is the sole sponsor of the offerings.
The minimum purchase price of this public offering is HK$15,252 per 100 shares. If the firm goes public in Hong Kong at HK$151 apiece, at the high end of the pricing range, Joinn could raise HK$6.54 billion ($843.9 million).
Headquartered in Beijing, Joinn Laboratories went public in Shanghai in August 2017. Shares of Joinn have increased by 16X since its launch.
Thanks to the impressive stock performance, local analysts predict this secondary offering will be heavily oversubscribed, similar to cancer screening company New Horizon Health.
According to Frost & Sullivan, the company was the largest CRO in non-clinical drug safety assessment in China with a market share of 15.7% in terms of revenues in 2019.
The company's profit totaled about 85.6 million yuan for the six months ended June 30, 2020, up 87.7% from the same period a year ago, according to the company's prospectus.
The company’s total revenues increased 83.5% from 344.2 million yuan in the nine months ended September 30, 2019, to 631.5 million yuan in the nine months ended September 30, 2020, partly due to the acquisition of Biomere, a U.S.-based CRO company.
The firm will go public in Hong Kong on Feb 26 under the ticker 06127.