Beijing Biostar Pharmaceuticals Co., Ltd. (BIOSTAR PHARM-B) issued a supplemental announcement refining the details of its new-share subscription agreement signed with a strategic subscriber on 6 May 2026.
The subscription price was set at HK$4.00 per share, representing an 11.11% discount to the 6 May closing price of HK$4.50 and a 10.11% discount to the five-day average closing price of HK$4.45. The price was determined through arm’s-length negotiations and remains compliant with Rule 13.36(5) of the Hong Kong Listing Rules.
Shares will be issued under a general mandate subject to shareholder approval at the AGM on 26 June 2026. The long-stop date for completing the transaction is 24 July 2026 (20 business days after the AGM). No additional shareholder vote is required as the subscription falls within the mandate limit.
Use of proceeds: 1. Research and Development: Funding will accelerate antibody-drug conjugate (ADC) platform build-out, covering antibody in-licensing, process scale-up and IND-enabling studies (toxicology, CMC, clinical-batch manufacturing). 2. Commercialization: Resources will expand marketing of Utidelone Injection and prepare market entry for the Utidelone Capsule now in Phase III trials. 3. Medical Innovation: Capital will support early-stage project sourcing, with plans to move one to two projects to IND-enabling stage by 2027 and complete Phase I trials within two years thereafter. 4. Working Capital: Remaining funds will cover staff costs, administrative expenses, professional services and liquidity support.
Management expects the subscription to bolster the proprietary dual- and multi-payload ADC pipeline, deepen collaboration with the subscriber—exclusive marketer of Utidelone Injection in China since late 2024—and enhance commercialization efficiency. The board views the terms as fair, reasonable and in the interests of all shareholders.
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