On January 28, 2025, the Hong Kong Stock Exchange (HKEX) website showed that PegBio Co., Ltd., a Suzhou-based specialist in endocrine metabolism, has successfully passed the HKEX hearing. China International Capital Corporation (CICC) acted as the sole sponsor.
Company Overview
PegBio was established in 2008 as a biotechnology company focused on the independent research and development of innovative therapies for chronic diseases, primarily peptides and small-molecule drugs, with a particular emphasis on metabolic disorders.
Pipeline and Core Product
PegBio has independently developed one core product and five other pipeline candidates targeting common chronic diseases and metabolic disorders, including type 2 diabetes (T2DM), obesity, non-alcoholic steatohepatitis (NASH), opioid-induced constipation (OIC), and congenital hyperinsulinism.
PegBio’s core product, PB-119, is a long-acting GLP-1 receptor agonist nearing commercialization, primarily for first-line treatment of T2DM and obesity. PB-119 was developed through PegBio’s proprietary HECTOR® technology platform, which designs and modifies PEG compounds to extend the drug’s half-life, enabling once-weekly dosing. This approach stabilizes blood drug concentrations, provides smooth glycemic control, and reduces the risk of T2DM-related complications such as cardiovascular disease, diabetic retinopathy, and nephropathy. Clinical trials have confirmed PB-119’s broad benefits, including improved cardiovascular health and reduced cholesterol, LDL-C, and triglyceride levels.
Market Position and Future Plans
PB-119 is one of the earliest long-acting GLP-1 receptor agonists in China’s clinical stage. It is expected to be commercially launched in China in 2025 for T2DM treatment. In September 2024, PegBio entered into a commercialization collaboration with a leading domestic pharmaceutical company in China for PB-119.
PegBio plans to further develop PB-119 through a series of Phase III clinical trials with different designs and may conduct head-to-head studies with major competitors to demonstrate comparative advantages. For the T2DM indication, PB-119 has completed a total of seven Phase I clinical trials and two Phase II clinical trials in China and the United States, and two Phase III clinical trials in China.
In addition to PB-119, PegBio has three clinical-stage candidates:
- PB-718, a GLP-1/GCG dual receptor agonist, has shown promising efficacy in weight loss and liver fat reduction and is planned for advancement in treating obesity and NASH.
- PB-1902, an oral μ-opioid receptor antagonist for OIC, is one of the first two domestic candidates in China’s clinical stage and is planned to start Phase II clinical trials in China in 2025.
- PB-722, a GCG receptor agonist for congenital hyperinsulinism, received FDA orphan drug designation in May 2021 and is the first candidate in China to receive IND approval for this indication. It is planned to start Phase I clinical trials in 2026.
PegBio also has two preclinical candidates, PB-2301 and PB-2309, both targeting T2DM, NASH, and obesity. IND applications are planned for 2025-2026.
Intellectual Property and Financing
As of the latest practicable date, PegBio owns 85 patents and patent applications, including 12 patents and 16 applications related to its core product, all of which are proprietary. All clinical candidates are developed through the HECTOR® platform and PEGylation technology.
PegBio has completed nine funding rounds since its inception, raising a total of RMB 1.05 billion. As of the latest practicable date, 89.75% of the funds raised have been utilized. In June 2023, PegBio completed its Series F+ financing round with a post-money valuation of approximately RMB 4 billion, with a per-share cost of RMB 11.00.
PegBio’s investors include Mingly, YuanSheng Venture Capital, True Wing, Yingke PE, NiceCredit, Kefeng Venture Capital, TianshiLi (Hong Kong), Shanghai YaoCui, Zhongxin Huiyuan, Share Link, Qianhai, Chelmsford, Huzhou QiYuan, Suzhou Industrial Park Industry Investment Fund, TaiGe Pharma, Suzhou YiPu, Beijing Agile, and Asia Private, among others. YuanSheng Venture Capital is a notable investor.
IPO Proceeds and Financials
PegBio plans to use the net proceeds from the IPO to: (i) fund the commercialization and indication expansion of its core product PB-119; (ii) support the further development of its main product PB-718; (iii) finance ongoing and planned research and development of other pipeline candidates; (iv) support business development activities and strengthen overseas operations; and (v) provide working capital and other general corporate purposes.
PegBio currently has no commercialized products. For the years ended December 31, 2022 and 2023, and the eight months ended August 31, 2024, PegBio’s pre-tax losses were RMB 306 million, RMB 279 million, and RMB 202 million, respectively, primarily from R&D and administrative expenses.-Fineline Info & Tech
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