Kelun-Biotech Secures $250 Million Through Massive Share Placement In Hong Kong

Kelun-Biotech Secures $250 Million Through Massive Share Placement



On June 5, 2025, the Sichuan Kelun-Biotech Biopharmaceutical Co., Ltd. announced a successful placement of approximately 5,918,000 H shares under its general mandate, equating to about 2.54% of the company's enlarged share capital post-placement. The shares were offered at HK$331.8 each, culminating in net proceeds of roughly $250 million. This transaction represents a significant commitment by investors in the biopharmaceutical sector, marking it as one of the largest follow-on offerings in the Hong Kong market over the last year.

Highlights of the Placement



The placement attracted a diverse array of investors including both domestic and international institutions, indicating strong demand for shares that exceeded the expected issuance size of $200 million, leading to an increase in the offering to $250 million. Participation included prestigious global funds, sovereign wealth funds, and healthcare-focused investment firms, all reflecting confidence in Kelun-Biotech's growth potential.

The final offering price of HK$331.8 per share was set at a 7.58% discount to the stock’s last closing price and presented a slight premium of 0.89% over the average closing prices from the previous five trading days.

Strategic Use of Proceeds



Kelun-Biotech has outlined clear intentions regarding the deployment of the funds raised through this placement. Primarily, the capital will be allocated towards enhancing their research and development capabilities, funding clinical trials, facilitating registration filings, and supporting the manufacturing and commercialization processes of its innovative product line. Moreover, the company aims to leverage these resources to fortify internal research technologies, foster external collaborations, and broaden its product pipeline.

Dr. Michael Ge, the CEO of Kelun-Biotech, expressed contentment with the support received from existing shareholders while welcoming new high-profile investors into their fold. He stated, “The overwhelming demand we’ve experienced highlights the robust recognition of Kelun-Biotech's long-term investment value, both domestically and internationally. With this financing, we're positioned to accelerate our global clinical development, unlocking the potential of our advanced therapies.”

About Kelun-Biotech



Kelun-Biotech, listed under the HK stock number 6990.HK, operates as a holding subsidiary of Kelun Pharmaceutical (002422.SZ) and is dedicated to the research, manufacturing, commercialization, and global collaboration in the innovative therapeutic drug space. The company's therapeutic focus spans critical diseases, including solid tumors, autoimmune disorders, inflammatory conditions, and metabolic diseases. They have committed to building a global drug development platform aimed at addressing unmet medical needs both in China and globally.

Currently, Kelun-Biotech boasts over 30 active innovative drug projects, with 3 already approved for marketing. As they continue on their innovative path, the organization has made strides in establishing one of the world's leading proprietary antibody-drug conjugate (ADC) platforms, OptiDC™, further enhancing their position in the competitive biopharmaceutical landscape.

As the company progresses, they remain steadfast in their commitment to becoming a leading global player in the innovative drug market. Investors and industry watchers alike will be keen to observe the impact of this substantial capital raising as Kelun-Biotech continues to push the frontier of medical biotechnology.

For further information, visit their official website.

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