Wuxi AppTec to Raise Around $1 Billion Through Zero Coupon Convertible Bonds
By Megan Cheah
Wuxi AppTec plans to raise around $1 billion by issuing U.S. dollar-settled zero coupon convertible bonds, as it seeks to boost its capacity and capabilities.
The Shanghai-based company, which provides drug research, development and manufacturing services, plans to issue the bonds with a principal amount of 6.78 billion yuan, equivalent to $999 million, Wuxi AppTec said Friday.
The bonds can be converted to Hong Kong-listed shares at an initial conversion price of 153 Hong Kong dollars per share, or $19.54, subject to adjustments and conditions, said the company, which is listed in both Shanghai and Hong Kong.
The conversion price is a premium of around 18% over Wuxi AppTec's Thursday closing price of HK$130.10, the company said. Assuming full conversion of all the bonds at this price, the converted shares will represent around 9.1% of Wuxi's enlarged H-share capital and around 1.7% of its total issued share capital.
Wuxi intends to use the net proceeds of around $1.02 billion for global capacity and capability expansion, and general corporate purposes.
Morgan Stanley, Citigroup and Goldman Sachs are the banks advising Wuxi on its bond issuance.
Wuxi AppTec's shares in Hong Kong closed 5.2% lower at HK$130.10 on Thursday, but are about 32% higher year to date.
Write to Megan Cheah at megan.cheah@wsj.com
(END) Dow Jones Newswires
May 14, 2026 20:41 ET (00:41 GMT)
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