Sichuan Biokin Pharma Aims For The Stars With $500 Million Hong Kong IPO!

Sichuan Biokin Pharmaceutical Co. has applied for a listing in Hong Kong, aiming to raise approximately $500 million. According to insiders, this could be one of the more substantial deals in the city's current pipeline. The drugmaker, already listed in Shanghai, filed a preliminary prospectus on Wednesday without specifying the size of the initial public offering. The document revealed that Goldman Sachs Group Inc., JPMorgan Chase & Co., and Citic Securities Co. are acting as joint sponsors for the share sale.

According to sources who requested anonymity, the size of the IPO is still under discussion and may change. Biokin did not respond to a request for comment. In May, IFR reported that Biokin, based in Chengdu, was planning an IPO potentially as early as next year. The company has research and development centers in both China and the US, along with other facilities, according to its website.

Hong Kong's market has been lackluster recently, with IPOs hitting their lowest level in two decades in 2023. Although activity is picking up and the financial hub is experiencing its busiest week for IPOs this year, overall sentiment remains cautious, as half of the six most recent debuts traded below their offer prices. Biokin began trading at 24.70 yuan in Shanghai early last year, soaring over 120% in two weeks to reach 54.60 yuan. As of Thursday afternoon, it was trading at 162.32 yuan, giving the company a market value of 65 billion yuan ($9 billion).