BRIEF: CF PharmTech to raise $77 million in Hong Kong IPO
Pharmaceutical manufacturer CF PharmTech Inc. (2652.HK) on Friday launched its Hong Kong IPO, seeking to raise about HK$601 million ($77 million) by selling 41.2 million shares for HK$14.75 apiece. The subscription period for shares will close on Oct. 2, with trading slated to begin on Oct. 8.
The company plans to use 40% of the IPO proceeds for R&D of its inhaled product candidates and for ongoing clinical initiatives. About 20% will go to preclinical programs for multiple pipeline candidates and technological platforms. Another 30% is earmarked for purchasing equipment and expanding and upgrading the company’s production management systems.
CF PharmTech reported revenue of nearly 610 million yuan last year, up 9% year-on-year. Its profit for the year totaled 21.09 million yuan, down 33.5%. Its first-quarter revenue this year reached 136 million yuan, down 2.7% year-over-year, while its profit for the period more than doubled to 12.82 million yuan.
By Lau Chi Hang
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