Dermatology therapy developer Cutia Therapeutics (HKG: 2487) has successfully made its initial public offering (IPO), issuing 21.3 million shares at a price of HKD24.75 per share, raising a total of HKD527 million (USD 67.3 million).
Company Background and Focus on Skin Diseases
Founded in 2019, Cutia is dedicated to the research and development of treatments for skin diseases and nursing care, encompassing local fat accumulation management drugs, hair diseases and care, skin diseases and care, and epidermal anesthesia. The company has a robust pipeline of 9 products, including CUP-MNDE and CUP-SFJH, which are licensed for distribution from an overseas partner. Its core product, CU-20401, a recombinant mutated collagenase, is poised to become a Category 1 drug for the treatment of obesity, overweight, or other metabolic diseases related to local fat accumulation in China.
Strategic Licensing Deal and Market Expansion
In 2020, Cutia entered into a licensing agreement worth RMB 100 million with Hangzhou-headquartered Rejuven Dermaceutical, securing exclusive development, manufacturing, and commercialization rights to CU-20401 in Asia. This strategic move positions Cutia to expand its reach and impact in the dermatology and aesthetics market.
Financial Performance and Growth
Cutia reported revenues of RMB2 million in 2021 and RMB11.4 million in 2022, indicating a significant growth trajectory. Despite incurring losses of RMB319.6 million and RMB555.8 million in the respective years, the company’s focus on innovation and expansion suggests a promising future in the dermatology sector.-Fineline Info & Tech
