IPOs and Catalysts/Events, Global Equity Research Ltd

Arun George

IPOs and Catalysts/Events

Uncompromised, Independent, Conflict-Free Research

Global Equity Research Ltd

Global Equity Research was started in 2017 by a group of experienced research professionals. It was founded on a passionate belief in the importance and the need for uncompromised, independent, conflict-free research. We aim to provide differentiated and actionable primary and bottom up fundamental research.

Equity Capital Markets

HBM Holdings Limited / Equity Capital Markets

<div><p><a href="https://www.smartkarma.com/entities/harbour-biomed-holdings-limited" target="_blank" data-smartkarma-citation="entities:29717:1" rel="noopener">Harbour Biomed (2142 HK)</a> is a biopharmaceutical company with a focus on discovering, developing and commercialising differentiated antibody therapeutics in immunology and oncology disease areas. Harbour has launched a Hong Kong IPO to raise net proceeds of HK$1,589.5 million ($205 million) at the mid-point of the IPO price range of HK$11.70-12.92 per share.</p></div><div><p>Nine cornerstone investors have agreed to invest about $92 million in the IPO (41.92% of the offer shares at the mid-point of the IPO price range). Cornerstone investors include BlackRock, <a href="https://www.smartkarma.com/entities/hbm-healthcare-investments-ag" target="_blank" data-smartkarma-citation="entities:22373:1" rel="noopener">Hbm Healthcare Investments Ag (HBMN SW)</a>, Hillhouse Capital, Hudson Bay Capital, Octagon Capital, Anlan Fund, <a href="https://www.smartkarma.com/entities/legend-holdings-corp-h" target="_blank" data-smartkarma-citation="entities:517:1" rel="noopener">Legend Holdings Corp H (3396 HK)</a>, OrbiMed and 3W.</p></div><div><div><div class="content-highlight"><p>In <a href="https://www.smartkarma.com/insights/hbm-holdings-harbour-biomed-ipo-initiation-making-resistance-futile" target="_blank" data-smartkarma-citation="insights:45740" rel="noopener">HBM Holdings (Harbour Biomed) IPO Initiation: Making Resistance Futile</a>, we stated that the prospects of Harbour’s core drug assets are favourable. Overall, a strong cornerstone investor lineup and our valuation analysis suggest that the IPO price range is attractive. </p></div></div></div>

Harbour Biomed (2142 HK) is a biopharmaceutical company with a focus on discovering, developing and commercialising differentiated antibody therapeutics in immunology and oncology disease areas. Harbour has launched a Hong Kong IPO to raise net proceeds of HK$1,589.5 million ($205 million) at the mid-point of the IPO price range of HK$11.70-12.92 per share.Nine cornerstone investors have agreed to invest about $92 million in the IPO (41.92% of the offer shares at the mid-point of the IPO price range). Cornerstone investors include BlackRock, Hbm Healthcare Investments Ag (HBMN SW), Hillhouse Capital, Hudson Bay Capital, Octagon Capital, Anlan Fund, Legend Holdings Corp H (3396 HK), OrbiMed and 3W.In HBM Holdings (Harbour Biomed) IPO Initiation: Making Resistance Futile, we stated that the prospects of Harbour’s core drug assets are favourable. Overall, a strong cornerstone investor lineup and our valuation analysis suggest that the IPO price range is attractive. 

HBM Holdings (Harbour Biomed) IPO: Valuation Insights

<p><a href="https://www.smartkarma.com/entities/harbour-biomed-holdings-limited" target="_blank" data-smartkarma-citation="entities:29717:1" rel="noopener">Harbour Biomed (HMD HK)</a> is a biopharmaceutical company with a focus on discovering, developing and commercialising differentiated antibody therapeutics in immunology and oncology disease areas. Harbour is backed by Legend Capital, GIC, CDH Investments, <a href="https://www.smartkarma.com/entities/sk-holdings-co-ltd" target="_blank" data-smartkarma-citation="entities:393:1" rel="noopener">SK Holdings (034730 KS)</a>, OrbiMed, Octagon Capital and Sage Partners. The Series C round in July 2020 raised $102.8 million at a post-money valuation of $780 million. </p><div class="content-highlight"><p>Harbour is seeking to raise $300 million through a Hong Kong IPO, according to press reports. Harbour’s three antibody platforms (HCAb Platform, HBICE Platform and H2L2 Platform) are a key source of differentiation. Overall, we believe that Harbour’s clinical assets are attractive. </p></div>

Harbour Biomed (HMD HK) is a biopharmaceutical company with a focus on discovering, developing and commercialising differentiated antibody therapeutics in immunology and oncology disease areas. Harbour is backed by Legend Capital, GIC, CDH Investments, SK Holdings (034730 KS), OrbiMed, Octagon Capital and Sage Partners. The Series C round in July 2020 raised $102.8 million at a post-money valuation of $780 million. Harbour is seeking to raise $300 million through a Hong Kong IPO, according to press reports. Harbour’s three antibody platforms (HCAb Platform, HBICE Platform and H2L2 Platform) are a key source of differentiation. Overall, we believe that Harbour’s clinical assets are attractive. 

HBM Holdings (Harbour Biomed) IPO Initiation: Making Resistance Futile

HK/China Healthcare Analyst (ex-Fosun Pharma)

Xinyao (Criss) Wang

<p style="text-align: justify;">On November 20, another unprofitable biopharmaceutical company, <a href="https://www.smartkarma.com/entities/antengene-corporation-limited" target="_blank" data-smartkarma-citation="entities:29705:1" rel="noopener">Antengene (6996 HK)</a>, will be listed on HKEX at a price of HK$18.08 per share. Currently, Antengene has a total of 12 innovative drugs in its pipeline. Among them, 6 drugs are basically from license-in mode while the rest are mainly self-developed. From the public information, it is still unknown that whether Antengene would use the license-in mode (like <a href="https://www.smartkarma.com/entities/everest-medicines" target="_blank" data-smartkarma-citation="entities:29224:1" rel="noopener">Everest Medicines (1952 HK)</a>) to achieve rapid financing and then develop a competitive pipeline in the future. The following is mainly to analyze the value and potential of the current pipeline, and also provide some thoughts on valuation.</p>

On November 20, another unprofitable biopharmaceutical company, Antengene (6996 HK), will be listed on HKEX at a price of HK$18.08 per share. Currently, Antengene has a total of 12 innovative drugs in its pipeline. Among them, 6 drugs are basically from license-in mode while the rest are mainly self-developed. From the public information, it is still unknown that whether Antengene would use the license-in mode (like Everest Medicines (1952 HK)) to achieve rapid financing and then develop a competitive pipeline in the future. The following is mainly to analyze the value and potential of the current pipeline, and also provide some thoughts on valuation.

Antengene - Insights on Pipeline and Valuation

<p><a href="https://www.smartkarma.com/entities/remegen-ltd" target="_blank" data-smartkarma-citation="entities:29191:1" rel="noopener">Remegen Ltd (1788976D CH) </a>is an innovative bio-pharmaceutical company dedicated to the development and commercialization of first-in-class and best-in-class biological drugs. The two core products of <a href="https://www.smartkarma.com/entities/remegen-ltd" target="_blank" data-smartkarma-citation="entities:29191:1" rel="noopener">Remegen Ltd (1788976D CH)</a>  are RC18 and RC48 (Related article: <a href="https://www.smartkarma.com/compose/insight/45020/Pre-IPO%20RemeGen%20-%20Insights%20on%20Two%20Core%20Products%20RC18%20&amp;%20RC48.%20Read%20more:%20https:/skr.ma/sxMEQ" target="_blank" rel="noopener">Pre-IPO RemeGen - Insights on Two Core Products RC18 &amp; RC48. Read more: https://skr.ma/sxMEQ</a>). It is said that the Company is going to be listed on HKEX at a price of HK$52.1/share in November. In terms of valuation, is RemeGen overvalued? </p>

Remegen Ltd (1788976D CH) is an innovative bio-pharmaceutical company dedicated to the development and commercialization of first-in-class and best-in-class biological drugs. The two core products of Remegen Ltd (1788976D CH)  are RC18 and RC48 (Related article: Pre-IPO RemeGen - Insights on Two Core Products RC18 &amp; RC48. Read more: https://skr.ma/sxMEQ). It is said that the Company is going to be listed on HKEX at a price of HK$52.1/share in November. In terms of valuation, is RemeGen overvalued? 

A Different Angle - RemeGen Vs Akeso (Insights on Valuation)

Asia Pac IPO & Placement Research, China biotech, Aequitas Research

Ke Yan, CFA, FRM

Asia Pac IPO & Placement Research, China biotech

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

<p>RemeGen raised HKD 3,776 million (USD 487m) from its global offering and will list on the Hong Kong Stock Exchange on Monday November 9th.</p>
<p>In our previous note, we discussed that the company's R&amp;D is the top-notch among Hong Kong-listed biotech companies. It has two near commercialization products, RC18, and RC48. RC18 (BLyS/APRIL target) has an innovative design and has demonstrated superior efficacy for SLE which has big unmet demand. RC48 (HER2 ADC) is the first domestically developed ADC that has entered the clinical trial stage. It also has a differentiated indication targeting HER2 low-expressing patients, compared to competing drug candidates. Thanks to its ADC platform and bispecific platform, the company has interesting and differentiated pipeline products entering clinical trials. The company has a strong management team and backing from reputable investors.</p>
<p>In this note, we will look at the allocation and implications.  We think that the subscription by institutional investors remains strong but retail coverage was relatively weak given the strong cornerstone backing. We think the deal has a limited upside and would take profit when the price approaches our TP.</p>
<div>
<h2>Our previous coverage on RemeGen</h2>
</div>
<div>
<ul style="list-style-type: disc;">
<li dir="ltr">
<p><a href="https://www.smartkarma.com/insights/remegen-pre-ipo-top-notch-r-d-capability-and-a-strong-team" target="_blank" rel="noopener">RemeGen (荣昌生物) Pre-IPO: Top-notch R&amp;D capability and a strong team</a></p>
</li>
<li dir="ltr">
<p><a href="https://www.smartkarma.com/insights/remegen-pre-ipo-thoughts-on-valuation-of-rc18-and-rc48" target="_blank" rel="noopener">RemeGen (荣昌生物) Pre-IPO: Thoughts on valuation</a></p>
</li>
<li dir="ltr"><a href="https://www.smartkarma.com/insights/remegen-ipo-pricing-the-r-d-leadership" target="_blank" rel="noopener">RemeGen (荣昌生物) IPO: Pricing the R&amp;D Leadership</a></li>
</ul>
</div>

RemeGen raised HKD 3,776 million (USD 487m) from its global offering and will list on the Hong Kong Stock Exchange on Monday November 9th.
In our previous note, we discussed that the company's R&amp;D is the top-notch among Hong Kong-listed biotech companies. It has two near commercialization products, RC18, and RC48. RC18 (BLyS/APRIL target) has an innovative design and has demonstrated superior efficacy for SLE which has big unmet demand. RC48 (HER2 ADC) is the first domestically developed ADC that has entered the clinical trial stage. It also has a differentiated indication targeting HER2 low-expressing patients, compared to competing drug candidates. Thanks to its ADC platform and bispecific platform, the company has interesting and differentiated pipeline products entering clinical trials. The company has a strong management team and backing from reputable investors.
In this note, we will look at the allocation and implications.  We think that the subscription by institutional investors remains strong but retail coverage was relatively weak given the strong cornerstone backing. We think the deal has a limited upside and would take profit when the price approaches our TP.

Our previous coverage on RemeGen




RemeGen (荣昌生物) Pre-IPO: Top-notch R&amp;D capability and a strong team


RemeGen (荣昌生物) Pre-IPO: Thoughts on valuation

RemeGen (荣昌生物) IPO: Pricing the R&amp;D Leadership



RemeGen (荣昌生物) IPO Trading: First Not so Hot Biotech in the Stretch

China

RemeGen Co., Ltd. operates biotechnology businesses. The Company develops therapeutic antibody drugs such as antibody drug conjugates (ADC), antibody fusion proteins, monoclonal antibodies and double antibodies. RemeGen provides solutions autoimmune diseases, tumor diseases, and ophthalmic diseases.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Remegen (9995 HK)

HBM Holdings (Harbour Biomed) IPO: Valuation Insights

Harbour has launched an HK IPO to raise net proceeds of $205 million at the mid-point of the price range. Overall, strong cornerstones and our...

Arun George

HBM Holdings (Harbour Biomed) IPO Initiation: Making Resistance Futile

Harbour is seeking to raise $300 million through a Hong Kong IPO. Harbour’s three antibody platforms are a key source of differentiation. Overall,...

Arun George

Antengene - Insights on Pipeline and Valuation

This article analyzed the value and potential of Antengene's current pipeline, its competitors' products and also include some thoughts on valuation.

Xinyao (Criss) Wang

A Different Angle - RemeGen Vs Akeso (Insights on Valuation)

In this article, by comparing RemeGen and Akeso's pipelines from different aspects to provide referable and helpful insights about the valuation...

Xinyao (Criss) Wang

RemeGen (荣昌生物) IPO Trading: First Not so Hot Biotech in the Stretch

Subscription by institutional investors remains strong but retail coverage was relatively weak. We think the deal has a limited upside and would...

Ke Yan, CFA, FRM

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)