Xuanzhu Biopharmaceutical-B (02575) will conduct its IPO from October 6 to October 10, 2025. The company plans to globally offer 67.3335 million shares, with 10% allocated for Hong Kong offering and 90% for international offering, plus a 15% over-allotment option. The offering price is set at HK$11.6 per share, with a board lot of 500 shares. The shares are expected to commence trading on the Stock Exchange on October 15, 2025.
The company is an innovation-driven Chinese biopharmaceutical company that leverages its understanding of China's pharmaceutical industry and insights into unique clinical needs to improve patient health and quality of life. Since CSPC Pharmaceutical Group Limited acquired a majority stake in Shandong Xuanzhu Pharmaceutical Technology Co., Ltd. in 2008, the company has established a comprehensive internal R&D platform supporting the development of a diversified and balanced pipeline.
As of the latest practicable date, the company has more than ten drug assets under active development, covering digestive system diseases, oncology, and non-alcoholic steatohepatitis (NASH). This includes three NDA-approved assets, one drug project in NDA registration stage, one drug project in Phase III clinical trials, four drug projects in Phase I clinical trials, and five with IND approval.
The company's pipeline features three core products: KBP-3571 (an NDA-approved innovative proton pump inhibitor (PPI) for treating digestive system diseases), XZP-3287 (an NDA-approved cyclin-dependent kinase 4/6 (CDK4/6) inhibitor targeting breast cancer), and XZP-3621 (an NDA-approved anaplastic lymphoma kinase (ALK) inhibitor targeting non-small cell lung cancer (NSCLC)). This pipeline design strategically balances development risk and innovation, enabling the company's commercialized or late-stage assets to support the development of early-stage innovative drugs.
The group has entered into cornerstone investment agreements whereby cornerstone investors have agreed to subscribe for, or procure their wholly-owned subsidiaries to subscribe for, the relevant number of offer shares purchasable with an aggregate amount of HK$76.5975 million at the offer price, subject to certain conditions. Based on the offer price of HK$11.60 per offer share, cornerstone investors will subscribe for 6.603 million offer shares.
The cornerstone investor, Beijing Denorland Fifteen Private Equity Investment Fund Center (Limited Partnership) ("Denorland Fifteen"), is a professional private equity investment fund formally established and registered in China, focusing on investments in strategic emerging industries and high-growth enterprises.
The company estimates that after deducting underwriting commissions, fees, and estimated expenses payable by the company for the global offering, based on the offer price of HK$11.60 per share, the company will receive net proceeds from the global offering of approximately HK$701 million.
The company currently intends to use these net proceeds for the following purposes: approximately 45.0% for research and development of the company's core products (namely KBP-3571, XZP-3287, and XZP-3621); approximately 14.0% for R&D of the company's key products (namely KM602, KM501, XZP-7797, and XZP-6924); approximately 11.0% for funding R&D of other drug candidates (including XZB-0004, XZP-5610, XZP-6019, and XZP-6877); approximately 20.0% will be allocated for enhancing the company's commercialization and marketing capabilities; and approximately 10.0% for working capital and other general corporate purposes.