Jiangsu Hengrui Pharmaceuticals made a strong debut on the Hong Kong stock exchange, marking a major milestone in its global expansion. Trading under the code 1276, the shares opened at HK$57.00, up 29.4% from the offer price of HK$44.05, raising HK$9.89 billion (US$1.26 billion) in the process. The stock surged as much as 37% during the day before closing at HK$55.15, a 25% gain, giving the company a Hong Kong market valuation of HK$12.38 billion. In contrast, its Shanghai-listed shares declined by 1.6% to 54.50 yuan.
Deputy chairman Dai Hongbin described the listing as a crucial step toward entering the international capital market and accelerating the company’s innovation-driven strategy. Hengrui aims to leverage its dual A+H listing to support its global ambitions, including ongoing drug development and market expansion. Dai emphasized that the listing represents a new chapter in the company’s commitment to high-quality growth and innovation.
The IPO received a robust response from investors. The retail portion was oversubscribed more than 450 times, while the institutional tranche saw nearly 17 times the demand, reflecting strong investor appetite. Proceeds from the offering will be used to fund clinical trials, expand production capacity, and support general corporate initiatives, according to the company’s prospectus. The offering was jointly led by Morgan Stanley, Citigroup, and Huatai International.
Founded in 1970 in Lianyungang, Jiangsu province, Hengrui has evolved from a generic drug manufacturer into one of China’s most prominent developers of innovative medicines. The company has invested over 46 billion yuan (US$6.4 billion) in research and development since 2000. It currently markets 19 new molecular entity drugs and four other innovative products.
The listing comes amid a resurgence in Hong Kong’s IPO market and a broader push by Chinese pharmaceutical companies to raise capital through dual listings. Regulatory support from both mainland China and Hong Kong is encouraging this trend, aimed at boosting liquidity and expanding investor access.
Earlier in the week, Contemporary Amperex Technology, a leading electric vehicle battery manufacturer, also debuted in Hong Kong in what became the largest global IPO this year. Together with Hengrui’s strong performance, these listings signal renewed investor confidence in key sectors like biotech and clean energy, helping to elevate Hong Kong’s position as a premier capital market.
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