Shanghai Henlius Biotech looks to raise $600m from HK IPO

Hong Kong. Photo by SHUJA ZED on Unsplash

The summer IPO drought in Hong Kong is coming to an end.

Shanghai Henlius Biotech Inc., a unit of billionaire Guo Guangchang’s Fosun group, started gauging investor demand Monday for a planned initial public offering, according to terms of the deal obtained by Bloomberg. The offering could raise at least $600 million, people with knowledge of the matter have said.

While summer is typically quiet for first-time share sales in Hong Kong as bankers and investors go on holidays, the city’s ongoing protests and an escalating trade war between China and the U.S. have hurt investor sentiment. No major listing has completed in the financial hub since mid-July after Jinshang Bank Co. raised $474 million, according to data compiled by Bloomberg. Anheuser-Busch InBev NV stalled a listing of its Asian subsidiary last month.

Companies have raised $1.54 billion via IPOs in Hong Kong since the beginning of July. That compares to $11.5 billion for the same period last year, which had the busiest summer on record with listings of China Tower Corp. and Xiaomi Corp.

Henlius, an unprofitable biopharmaceutical firm, plans to use the IPO proceeds to fund clinical trials and for general corporate purposes, the terms show. One of its products that treats lymphoma has received approval from China’s National Medical Products Administration for commercial sales in May, according to a preliminary prospectus.

China International Capital Corp., Bank of America Corp., CMB International Capital Ltd., Fosun Hani Securities and Citigroup Inc. are joint sponsors, the prospectus shows.
Bloomberg 

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.