The new fundraising will help the firm to increase the capacity of its raw materials plant and construct a production plant for complex injections.
Chinese biopharmaceutical company BrightGene (博瑞医药) announced it officially listed on the Shanghai Stock Exchange on November 8, under stock code ‘688166.’ The company issued 47 million shares at CNY 12.71 (equivalent to USD 1.82) per share, with total fundraising of CNY 520 million (equivalent to USD 75 million).
The stock opened at CNY 27.77, reaching the highest price at CNY 33.3, and lowest price at CNY 27.13.; by the end of the day the stock closed at CNY 30.61, which was CNY 17.9 higher than the issue price of CNY 12.71, an increase of 140.83%. At the close of the first day of the IPO, the market value had reached CNY 12.5 billion (equivalent to USD 1.7 billion).
Founded in 2001, Suzhou-based Bio-medical firm BrightGene engages in the R&D and manufacturing of innovative medicine as well as special generic APIs and FDFs, with a primary strategic focus on the regulated market.
In early 2019, BrightGene completed a pre-IPO round, worth CNY 550 million, led by Beijing-based VC firm Sequoia Capital China (红林资本) and Jiangsu-based VC firm HighLight Capital (弘晖资本), with the additional participation of GF Qianhe Investment (广发乾和). It should be noted that Sequoia China is the largest institutional shareholder in BrightGene, and it has actively invested in companies focused on innovative medicine, medical equipment, medical services and precision medicine.
The IPO move also indicates that the company’s strategy is to attract more investors and increase its market share – and create more troubles for competitors, like the Israel-based Biotechnology company Mapi Pharma and the American-based Biopharma firm KBI Biopharma.
The recently-listed firm has experienced rapid growth in its performance over the past three years. The company revenue increased from CNY 200 million in 2016 to CNY 400 million in 2018, with a compound growth rate of 45%, an outstanding achievement in a short period of time. It continues to focus on ‘innovation and health,’ and is constantly seeking breakthroughs to reward the investors with excellent business performance.