Chinese biotech BeiGene raises $903 mln in HK's first secondary listing under new rules -sources

By Fiona Lau and Julie Zhu

HONG KONG: Chinese Nasdaq-listed biotech BeiGene Ltd has raised $903 million after pricing its secondary listing in Hong Kong - the first under new exchange rules - near the top of an indicative range, three people close to the deal said on Thursday.

The listing comes as Hong Kong works to lure overseas-listed firms to conduct secondary share offerings in the financial hub. It is also the second listing under new rules for early-state drug developers.

Hong Kong's stock exchange is seeking to establish itself as a financing centre for the growing number of pre-revenue drug developers. Its efforts will pit it against Nasdaq, currently the biggest centre for biotech listings, with $2.4 billion worth of such shares sold last year, Thomson data showed.

BeiGene, which develops molecularly targeted and immuno-oncology drugs to treat cancer, is selling 65.6 million new shares, or 8.55 percent of its enlarged share capital, at HK$108 ($13.76) each, close to the top of a price range of HK$94.4 to HK$111.6, the people said.

The price of its secondary listing represents a discount of 1.6 percent against its closing price of $181.74 in the U.S. on Wednesday.

BeiGene declined to comment on the pricing. The people declined to be identified as the information was not public. ($1 = 7.8487 Hong Kong dollars) (Reporting by Fiona Lau of IFR and Julie Zhu Editing by Christopher Cushing)