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Asymchem Laboratories Plans to Raise $968 Million in Hong Kong IPO

   By P.R. Venkat 
 

Shenzhen-listed Asymchem Laboratories Tian Jin Co. is planning to raise as much as 7.55 billion Hong Kong dollars ($968 million) via a share offering in Hong Kong, joining a list of Chinese companies looking to complete deals in a volatile market.

The company will start taking orders from Tuesday and plans to issue 18.42 million H-Shares at between HK$350-HK$410 each, it said.

Asymchem, which provides drug development and manufacturing services to the pharmaceutical industry, plans to finalize the IPO price on Dec. 3 and list its shares on the Hong Kong Exchange from Dec. 10.

Many Chinese companies are rushing to wrap up deals in the equities market as investor sentiment is rocked by the emergence of the Omicron Covid-19 variant. Many countries have renewed travel curbs to stem the spread of the new variant, which could weigh on the global recovery from the pandemic.

Asymchem said it will use the proceeds from the IPO for business expansion, R&D and to meet working capital needs, the company said.

Asymchem has a market capitalization of 127.5 billion yuan (US$19.96 billion).

In separate filings Tuesday, another five companies are hitting Hong Kong's IPO market to raise as much as HK$4.8 billion in total. The companies operate in industries ranging from real estate to third-party on-demand delivery services.

 

Write to P.R. Venkat at venkat.pr@wsj.com

 

(END) Dow Jones Newswires

November 29, 2021 19:32 ET (00:32 GMT)

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