Shanghai Fudan-Zhangjiang Bio-Pharmaceutical Co., Ltd., a company listed in Hong Kong, S.A.R., China, has recently announced that it planned to issue no more than 120 million shares on the Sci-Tech Innovation Board (STIB) of Shanghai Stock Exchange (SSE), with par value per share of RMB0.1.
According to information, Fudan-Zhangjiang mainly engages in research, development, manufacture and sales of innovative biopharmaceutical products, and has become an innovative biopharmaceutical company with the core capacity of the intellectual property creation. The enterprise meets the enterprise types recommended in the Guidelines for Recommending Enterprises for Listing on the Sci-Tech Innovation Board of Shanghai Stock Exchange issued by SSE.
It is the first Chinese pharmaceutical company that plans to be listed on the STIB, which will officially start the STIB era of China’s pharmaceutical industry.
STIB launching process
- Mar. 1, 2019
The plan for launching the STIB was announced on Nov. 5, 2018. China Securities Regulatory Commission and SSE issued and started to implement the Supporting Rules and Guidelines for Launching Sci-Tech Innovation Board and Piloting Registration-based IPO System, to begin to accept enterprise IPO applications soon.
- Mar. 3, 2019
SSE issued the Guidelines for Recommending Enterprises for Listing on the Sci-Tech Innovation Board of Shanghai Stock Exchange on, according to which, sponsors shall, on the premise of making clear of the positioning requirements of STIB, give priority to recommending sci-tech innovation enterprises that are in line with China’s national strategies, have breakthroughs in core and key technologies, and possess high degree of market recognition; and securities companies are encouraged to recommend those in the 5 fields: new-generation IT, high-end equipment manufacturing and new materials, new energy and energy conservation and environment protection, bio-medicine, and technical services.
- Mar. 18, 2019
SSE officially issued the Guide to Business Processing of Sponsors in the Issuance and Listing Examination System for Stocks on the Sci-Tech Innovation Board of the Shanghai Stock Exchange and Information Disclosure Guidelines for Financial Statements of Pilot Innovative Red-chip Enterprises on the Sci-Tech Innovation Board on Mar. 15, 2019, and the STIB issuance examination system has gone live.
Overall, the STIB will mainly serve sci-tech innovation enterprises that are in line with China’s national strategies, have breakthroughs in core and key technologies, and possess high degree of market recognition; it will take supporting China’s high-tech industry and strategic emerging industries as the development goal, and strive to boost development of innovation enterprises, focusing on their R&D over their profits.
STIB Era of China’s pharmaceutical industry
According to data of EvaluatePharma, with the growing of new drug R&D costs, the global pharmaceutical R&D investment is expected to reach USD160 billion in 2021, with the compound annual growth rate of 1.9% from 2016 to 2021. The pharmaceutical industry, especially bio-medicine industry, is one of the high-tech industries today and one of the fields recommended for the STIB, and innovative drug development has typical characteristics of high investment, high risk, and long cycle.
In the U.S. that is at the forefront of innovative drug development, the early development of innovative drugs obtains high capital investment owing to the involvement of PE and VC investment institutions, etc., and the mature staged technology exchange market can ensure the profits and exit of the early capital in subsequent stages; such mechanism breeds good soil for innovative drug development. And numerous small and sound biomedical companies and bio pharmaceutical companies have thus developed and grown t...
(All Rights Reserved)