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China’s Innovent Extends Gain from Solid HK IPO

Published 11/02/2018, 01:11 AM
© Reuters.

Investing.com - The shares of China’s Innovent Biologics Inc (HK:1801) continued to rise on Friday morning in Asia, two days after their initial public offering.

Innovent was up to HK$17 on Friday morning in Asia, up from their IPO price of HK$13.98 on Wednesday, when shares in the company started trading.

The IPO in Hong Kong broke a losing streak for IPOs by biotech companies this year.

The Hong Kong Stock Exchange (HKEx) changed its listings rules in April to allow listings of pre-profit companies. The move attracted companies in the biotechnology sector. Most have underperformed.

Hua Medicine (HK:2552) has dropped 17 percent since its debut in September. Shares of Beigene Ltd (HK:6160) have fallen by nearly a third since an August IPO. Ascletis Pharma Inc (HK:1672) has lost more than half of its share value since a July IPO.

Innovent is the fourth biotech group to list in Hong Kong since the rules changed. The Shanghai and Suzhou-based raised $421 million, making it the biggest biotech offering in the city this year.

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