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Ascentage Pharma is the latest mainland biotech firm to pick Hong Kong for fundraising

Company’s chairman says city is ‘new to the game’ and stakeholders will have plenty of ‘lessons to learn’

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HKEX is aiming to overtake New York’s Nasdaq when it comes to the number of Chinese biotech company listings and market capitalisation. Photo: Reuters

Anti-tumour drug researcher Ascentage Pharma has become the latest Chinese biotechnology company to choose Hong Kong for going public, in further evidence that an impending listing rules revamp will help the city take market share from New York, the primary listing exchange for firms without revenue in the nascent sector. 

The Suzhou-based company’s board had decided on Tuesday to pursue an initial public offering in Hong Kong, Song Ruilin, the executive president of the China Pharmaceutical Innovation and Research Development Association, told the China Healthcare Investment Conference in Shanghai on Wednesday. 

Yang Dajun, the Ascentage chairman, confirmed Song’s announcement at the event but said he could not comment further. 

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The company joins a growing number of firms that have decided to tap Hong Kong’s equity market to raise funds for the development of new drugs and innovative medical products. 

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Ascentage completed a second private sale of shares 14 months ago, raising US$72 million. It was led by the Future Industry Investment Fund, a private equity fund by the financial-to-energy conglomerate, State Development and Investment Corporation. 

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