Ying En Biotech-B (09606) plans to issue 15,071,600 shares for global offering from April 7th to April 10th, introducing several cornerstone investors such as BioNTech SE and LAV Star.

Eternal Bio-B (09606) will be listed from April 7th to April 10th, 2025. The company plans to globally issue 15.0716 million shares, with 10% allocated for sale in Hong Kong, 90% for international sale, and an additional 15% for additional shares. The offering price per share is HK$94.6-103.2, with a lot size of 100 shares. The shares are expected to start trading on the Hong Kong Stock Exchange on April 15, 2025 (Tuesday). We were established in 2019 and are a key leader in the field of Antibody Drug Conjugates (ADC) globally, dedicated to developing innovative ADC drugs for patients with cancer and autoimmune diseases. We have two core products in development, DB-1303/BNT323 (an HER2 targeting ADC candidate for cancers including endometrial cancer (EC) and breast cancer (BC)) and DB-1311/BNT324 (a B7-H3 targeting ADC candidate for cancers including small cell lung cancer (SCLC), castration-resistant prostate cancer (CRPC), esophageal squamous cell carcinoma (ESCC), and head and neck squamous cell carcinoma (HNSCC)). In addition to our core products, we have also independently developed: five other clinical-stage ADCs (namely, DB-1310, DB-1305/BNT325, DB-1312/BGC9074, DB-1419, and DB-2304) with potential in various indications, each ranked among the most advanced globally in terms of overall or major indications development progress according to Frost & Sullivan; two bispecific ADCs (BsADC) (DB-1418/AVZO-1418 and DB-1421) expected to enter clinical stage from 2025 to 2026; and several other preclinical ADCs. We currently do not have approved products for commercial sale and have recorded losses in the past years. As of December 31, 2023 and 2024, our losses were RMB 3.575 billion and RMB 10.504 billion, primarily from expenses related to research and development activities, as well as fair value changes in financial liabilities related to our preferred shares. During the same period, our revenues were RMB 1.787 billion and RMB 1.941 billion, primarily from external licensing and cooperation agreements. As we continue to advance preclinical research and clinical development programs and prepare for commercialization of our candidate drugs, we anticipate significant expenses in the coming years. Post-listing, our financial performance may fluctuate at different times due to factors such as the progress of our candidate drug development, regulatory approval timelines, and commercialization after drug approval. We have entered into cornerstone investment agreements with BioNTech SE, LAV Star, Lake Bleu Prime and Lake Bleu Innovation, TruMed, Fuguo Hong Kong, Fuguo Fund, Yifangda Fund Management, Yifangda Hong Kong, Huatianfu Fund, Panjing Fund, MY Asian, EMHCP and WWHCP, as well as Suzhou Suchuang, who have agreed to subscribe or cause their designated entities to subscribe for a total of USD 65 million (approximately HKD 505 million) at the offer price under certain conditions. We believe that cornerstone placements will ensure reasonable commitments of a reliable scale at the start of the global offering, instilling confidence in the market; and with the industry reputation and investment experience of cornerstone investors, especially in the life sciences, health care, and biopharmaceutical fields, the cornerstone placements will enhance our company's image and indicate investor confidence in our business and prospects. We have been introduced to various cornerstone investors through our business network or through our existing shareholders or through capital market intermediaries. Assuming an offering price of HKD 98.90 per share, we estimate that the net proceeds from the global offering will be approximately HKD 1.37 billion. Around 45.0% will be used in the reserved area for research, development, and commercialization of our core products (DB-1303 and DB-1311); around 30.0% will be used for the development of our key products; approximately 15.0% will be used to provide funding for the continuous development of our ADC technology platform, advance our other pipeline assets, and explore and develop new drug assets; and about 10.0% will be used for operating capital and other general company purposes.