SinoMab BioScience, Alphamab Oncology make their way to the Hong Kong Stock Exchange
While protests in Hong Kong are stretching the limits of the region’s economy, biotechnology companies don’t appear to be daunted to list on the region’s bourse.
Hong Kong-based SinoMab BioScience is looking to raise HK$1.75 billion ($223 million) in a public offering — while Souzou-based Alphamab Oncology is gunning to raise up to $350 million in an IPO next month, according to a Reuters report.
In April 2018, the Hong Kong Stock Exchange (HKEX) relaxed its listing rules to allow pre-revenue biotechs with a market cap of at least HK$1.5 billion ($190 million) to go public. On the first anniversary of the new regime, nine biotechs (including 7 pre-revenue companies) including Ascletis, Hua Medicine and Innovent Biologics had raised about $4.1 billion on the exchange, accounting for roughly 11% of all IPO funds over the period.
SinoMab BioScience is focused on immunological diseases. Its lead experimental drug, SM03, is a monoclonal antibody that inhibits CD22 and is being developed for use in rheumatoid arthritis and other immunological diseases such as systemic lupus erythematosus and Sjögren’s syndrome.
The company is offering about 182 million shares globally, of which 10% will be floated in Hong Kong at a price range between HK$7.60 and HK$9.60 per share. The public offering kicks off on Thursday, and the shares are scheduled to list on November 12 under the symbol “SEHK.”
Meanwhile, Reuters on Thursday reported that Alphamab is looking to raise between $250 million-$350 million by selling down about a quarter of the company during the book-building process, citing two sources. This would give Alphamab a market capitalization of at least $1 billion, the new agency reported.
The company in July filed to make the leap on the HKEX, less than two months after raising $60 million — its second venture round in a decade. It is developing a slate of cancer drugs, of which four are clinical stage. The leaders in its arsenal are KN035, a subcutaneous PD-L1 antibody; KN046, which targets both PD-L1 and CTLA-4; and KN026, an anti-HER2 bispecific antibody.