The “new three board + H + A” mode flashes in a week.
On the evening of April 8, Junshi Bio (01877.HK) issued an announcement that it would terminate its listing on the New Third Board.
Junshi Bio was established in 2012 (formerly “Junshi”) and is an innovation-driven biopharmaceutical company. In August 2015, Junshi Bio was listed on the New Third Board; in December 2018, Junshi Bio became the first group of unprofitable biopharmaceutical companies to settle in the Hong Kong stock medical sector after implementing the new regulations on the Hong Kong Stock Exchange; March 30, 2020 After the success of the Science and Technology Board, it will enter the registration stage.
The announcement stated that the resolution to terminate the listing of the NEEQ and the authorization of the board of directors to handle matters related to the termination of the listing of the NEEQ and the protective measures for the termination of the listing of the NEEQ were all adopted at the first extraordinary general meeting in 2020 by special resolution The case was approved by shareholders.
According to regulations, Xiong Jun, chairman of the board of directors, executive director and single largest shareholder of Junshi Biology, promised to purchase domestic shares that required qualified dissident domestic shareholders during the application period after the termination of the New Third Board listing. The purchase commitment will be performed from April 8, 2020 to the tenth day from the date when the New Third Board is terminated.
The impact of the delisting of the New Third Board on Junshi Biological ’s shareholding structure and the implementation of protection measures will be determined after the actual number of dissenting domestic shareholders is finalized.
Since the listing of the New Third Board in August 2015, Junshi Biological has made a total of 6 private placements and raised about 1.616 billion yuan (RMB, the same below). The net capital raised from the listing of Hong Kong stocks was 2.594 billion yuan, used for drug research and development and commercialization, investment and acquisition of companies in the pharmaceutical industry, and supplementary working capital. Prior to the listing on the Science and Technology Board, the proposed fundraising of 2.7 billion yuan will be used for innovative drug research and development projects, Junshi Biotechnology Industrialization Lingang Project, and repayment of bank loans and supplementary working capital.
According to the previously released 2019 financial report, Junshi Biological ’s total revenue in 2019 was 775 million yuan, mainly from the core product Triprezumab (trade name “Tuoyi”) in February 2019. After the sales increase. Among them, research and development expenditure totaled 946 million yuan, an increase of 75.8% year-on-year. But its performance is still at a loss.
Junshi Bio currently has 20 products in development, 9 of which are in clinical stage. With the continuous expansion of R & D investment, the “H + A” listing model can provide financial support to biomedical stocks that have not yet made a profit.
As early as September 24, 2019, Junshi Biotech announced the application for the listing of A shares on the Science and Technology Board of the Shanghai Stock Exchange and the suspension of trading of domestic shares on the New Third Board. Regarding the decision to choose the Science and Technology Board to abandon the New Third Board, the company disclosed in its announcement in September last year that compared with the New Third Board, the Shanghai Stock Exchange’s Science and Technology Board market is more mature and the investor range is broader; Domestic stocks listed on the Third Board are higher and are expected to strengthen the company’s capital structure.