China-based Sichuan Kelun Pharmaceutical Co., Ltd (SHE: 002422) has announced that its high-end preparation subsidiary, Sichuan Kelun-Biotech Biopharmaceutical Co., Ltd, has filed an initial public offering (IPO) with the Hong Kong Stock Exchange. The offering is co-sponsored by Goldman Sachs and CITIC Securities, marking a significant step in the company’s expansion and capital raising efforts.
Kelun-Biotech: Company Overview
Founded in 2016, Kelun-Biotech has established itself as a leader in the development of antibody-drug conjugates (ADC), macromolecules, and small molecule platforms. The company’s pipeline covers a broad range of therapeutic areas, including oncology, autoimmune diseases, and metabolic diseases. As of February 2023, Kelun-Biotech has 13 drug candidates at clinical stages, with 4 at pivotal or New Drug Application (NDA) filing stages.
Strategic Partnerships and Financials
Notably, Kelun-Biotech has entered into three licensing agreements with US major MSD, involving 9 ADCs and worth USD 11.8 billion in aggregate. These partnerships highlight the company’s innovative capabilities and the global interest in its ADC portfolio. Financially, Kelun-Biotech generated RMB 624 million (USD 89.6 million) in sales and reported RMB 321.2 million (USD 46.1 million) in losses during the first three quarters of 2022. Prior to the IPO, Kelun holds a 59.75% stake in the firm, while MSD holds 6.95%.
Strategic Implications
The IPO filing by Kelun-Biotech represents a strategic move to enhance the company’s capital base and support its ongoing research and development efforts. By listing on the Hong Kong Stock Exchange, Kelun-Biotech aims to increase its visibility in the global market, attract additional investment, and accelerate the commercialization of its innovative drug candidates. This initiative is expected to further solidify Kelun-Biotech’s position as a leading biopharmaceutical company and contribute to the advancement of novel therapies in key therapeutic areas.-Fineline Info & Tech
