Denaro Pharma-B (Stock Code: 06872) will open its initial public offering (IPO) subscription from May 14 to May 19, 2026. The company plans a global offering of 8,280,550 shares, with 10% allocated for the Hong Kong public offering and 90% for the international offering. The offer price is set at HK$75.70 per share, with a board lot size of 50 shares. Trading of the shares is expected to commence on the Stock Exchange on May 22, 2026.
Established in 2013, the company is a biotechnology firm at a near-commercialization stage, focused on discovering, developing, and commercializing differentiated innovative drug products to address unmet clinical needs in the fields of bacterial infections and diseases related to bacterial metabolism. As of the latest practicable date, the company has built a pipeline comprising seven innovative programs, including two core products: Liftonizole (TNP-2198), a new molecular entity candidate drug being developed in China and the US as part of a triple therapy with amoxicillin and PPI for Helicobacter pylori infection, and also as a monotherapy in China for bacterial vaginosis and Clostridioides difficile infection; and Rifquidone (TNP-2092 Injection), a candidate drug targeting three mechanisms for treating implant-related bacterial infections (such as acute bacterial skin and skin structure infections and prosthetic joint infections) as well as left ventricular assist device infections and central venous catheter-related bloodstream infections in China and the US.
The company has entered into cornerstone investment agreements. Under these agreements, cornerstone investors (including AMR Action Fund, L.P., AMR Action Fund, SCSp, Huayuan Management Consulting (Hong Kong) Co., Ltd., Orient Asset Management (Hong Kong) Co., Ltd., and Junsheng Global Limited) have agreed, subject to certain conditions, to subscribe for a total of US$29.8 million (or approximately HK$233.5 million) worth of offer shares at the offer price. Based on the offer price of HK$75.70 per share, the cornerstone investors will subscribe for a total of 3,084,400 offer shares.
Assuming the over-allotment option is not exercised and based on the offer price of HK$75.70 per share, the company estimates it will receive net proceeds of approximately HK$557.8 million from the global offering. The company intends to use the net proceeds from the global offering as follows: 71.0% will be allocated to the research, development, registration filing, and commercialization of the company's core products; 7.0% will be used to fund the research and development of the TNP-2092 oral formulation; 7.3% will be allocated to the research and development of the company's other candidate products; 7.2% will be used for the construction of the company's own manufacturing facility; and 7.5% will serve as working capital and for other general corporate purposes.
Comments