Cutting-Edge Drugmaker Biokin Taps Hong Kong Market to Fund Foray Aboard

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Funds raised from the Hong Kong IPO will mainly support Biokin’s overseas expansion

Chinese innovative drugmaker Sichuan Biokin Pharmaceutical Co. Ltd. has filed with the Hong Kong Stock Exchange for an initial public offering (IPO) in an effort to tap fresh funding to support new drug development and overseas expansion.

Biokin, already listed in Shanghai, did not disclose the target size of its Hong Kong offering. According to its preliminary prospectus, Goldman Sachs Group Inc., JPMorgan Chase & Co., and Citic Securities Co. Ltd. are joint sponsors for the share sale.

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Sichuan Biokin Pharmaceutical Co. Ltd. has filed for an IPO in Hong Kong to support new drug development and overseas expansion, with Goldman Sachs, JPMorgan Chase, and Citic Securities as sponsors.
Biokin signed an $800 million upfront ADC licensing deal with Bristol-Myers Squibb, with potential total payments up to $8.4 billion.
Funds from the Hong Kong IPO will be used for R&D, establishing a global supply chain, and general corporate purposes for overseas operations.

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Who’s Who

Sichuan Biokin Pharmaceutical Co. Ltd.: Sichuan Biokin Pharmaceutical Co. Ltd., founded in 1996, initially focused on chemical generics and proprietary Chinese medicines but transitioned to novel biological drugs in 2011. The company is known for its ADCs for cancer treatment. Listed on Shanghai’s STAR Market, Biokin plans a Hong Kong IPO to fund overseas expansion and R&D. With no approved innovative drugs yet, it has six ADC candidates in clinical trials and relies mainly on drug sales for revenue.

Goldman Sachs Group Inc.: Goldman Sachs Group Inc. is one of the joint sponsors for Sichuan Biokin Pharmaceutical Co. Ltd.'s forthcoming initial public offering (IPO) on the Hong Kong Stock Exchange. The firm, along with JPMorgan Chase & Co. and Citic Securities Co. Ltd., is facilitating Biokin's effort to raise funds for new drug development and overseas expansion.

JPMorgan Chase & Co.: JPMorgan Chase & Co. is one of the joint sponsors for Sichuan Biokin Pharmaceutical Co. Ltd.'s initial public offering (IPO) on the Hong Kong Stock Exchange. This collaboration aims to tap fresh funding to support Biokin's new drug development and overseas expansion.

Citic Securities Co. Ltd.: Citic Securities Co. Ltd. is one of the joint sponsors for Sichuan Biokin Pharmaceutical Co. Ltd.'s Hong Kong IPO. The company is a well-known financial services provider in China, offering a range of services, including securities brokerage, investment banking, and asset management.

Bristol-Myers Squibb Co.: Bristol-Myers Squibb Co. is an American pharmaceutical company that signed an ADC licensing deal with Sichuan Biokin Pharmaceutical in late 2023. This deal grants Bristol-Myers Squibb rights to develop and market a cancer treatment outside China. The agreement involves an upfront payment of $800 million and potential payments up to $8.4 billion, making it one of the largest out-licensing deals by Chinese drugmakers.

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What Happened When

1996：: Biokin was founded as a producer of chemical generic drugs and proprietary Chinese medicines.

2011：: Biokin moved on to novel biological drugs, focusing on antibody-drug conjugates (ADCs) for cancer treatment.

January 2023：: Biokin raised 990 million yuan ($136 million) in its IPO on the Shanghai Stock Exchange’s STAR Market.

mid-June 2023：: Biokin's market cap peaked at nearly 80 billion yuan.

late 2023：: Biokin signed an ADC licensing deal with Bristol-Myers Squibb Co.

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