New Stock News | Hua Rong Bio-B (02396) IPO ends, with a subscription amount of HK$53.6 billion, oversubscribed 594 times.

Biopharmaceutical company Sinclair Biotech-B (02396) started its IPO from December 12th to December 17th, the latest IPO has now ended. As of 11 am on the 17th, Sinclair Biotech has obtained a margin loan of 53.6 billion Hong Kong dollars from securities brokers to open subscription fund of 90.02 million Hong Kong dollars, oversubscribed by 594 times. Sinclair Biotech plans to issue 17.6488 million H shares, with approximately 10% for public sale in Hong Kong, approximately 90% for international sale, and an additional 15% over-allotment option. The selling price per share ranges from 38.2 to 51 Hong Kong dollars, with 200 shares per lot and an entry fee of 10,302.9 Hong Kong dollars per lot, raising up to 900 million Hong Kong dollars. The company expects to list for trading on December 22nd, with Huatai International and CITIC SEC as its joint sponsors. According to the prospectus, Sinclair Biotech was established in 2012 and is a biopharmaceutical company based in China, dedicated to developing various therapies, focusing on the development of protein drugs for medical needs and market opportunities. The main focus is on the discovery, development, and commercialization of therapies for wound healing, currently focusing on Platelet-Derived Growth Factor ("PDGF") drugs. As of the last feasible date, Sinclair Biotech's pipeline includes two core products: Pro-101-1 for treating deep second-degree burns, with statistical data analysis of Phase IIb clinical trial completed, and Pro-101-2 for treating diabetic foot ulcers, currently in Phase II clinical trial stage. The company also has eight other candidate products. Sinclair Biotech cautioned that the company may not succeed in developing and/or commercializing its core products. The company only has two core products, namely Pro-101-1 and Pro-101-2. For Pro-101-1, some clinical trial data did not show statistical significance between the treatment group and the placebo group. In addition, since February 2022, the enrollment progress of participants in the Pro-101-2 clinical trial has been slow, leading to delays in its product progress. SINO BIOPHARM markets currently do not have PDGF products. According to the Frost & Sullivan report, as of the last feasible date, there are three PDGF drug pipelines in China, with no approved PDGF drugs in China. All PDGF pipelines are based on the isoforms of PDGF-BB. Two of the PDGF-BB pipelines belong to Sinclair Biotech, with Phase II clinical trials for treating diabetic foot ulcers and Phase IIb clinical trials for treating deep and shallow second-degree burns completed in April 2025. On the commercialization front, as of the last feasible date, none of Sinclair Biotech's candidate products have been commercialized, and the company has not generated any revenue from selling candidate products. The company expects to independently commercialize at least two innovative drugs within the next six years, using a direct sales team and strategic partners to commercialize their candidate products if approved, covering regional and channel coverage. Financially, during the historical periods, the company did not make a profit and incurred net losses. In the fiscal years 2023, 2024, and the nine months ending September 30, 2025, the company recorded net losses of 105 million yuan, 212 million yuan, and 135 million yuan, respectively. The majority of the net losses were due to research and development expenses and administrative expenses. According to the prospectus, Sinclair Biotech plans to use approximately 61.8% of the net proceeds from the global offering to fund the continuous clinical development and commercialization of the company's core products Pro101-1 and Pro-101-2; approximately 18.8% to enhance research and development capabilities by purchasing professional equipment and instruments related to research and quality control activities; approximately 6.3% to pay for third-party service fees, research personnel expenses, and raw material costs for the continuous preclinical research of PDGF products for treating other indications (such as fresh wounds, pressure sores, and radiation ulcers) beyond the core products; approximately 3.1% to pay for third-party service fees, research personnel expenses, and raw material costs for the preclinical research activities of Mes-201, Oli-101, and Oli201; and approximately 10% for operating capital and general corporate purposes.