Hua Medicine Ltd’s $110 Million Initial Public Offering


Shearman & Sterling advised Goldman Sachs (Asia) L.L.C., CLSA Limited, UBS AG Hong Kong Branch and Guotai Junan Securities (Hong Kong) Limited as underwriters on the US$110 million global offering and initial public offering of Hua Medicine Ltd (Hua Medicine) on the Main Board of The Stock Exchange of Hong Kong Limited (the Exchange)

The offering was one of the first [three] biotech company deals admitted for listing under the Chapter 18A regime recently introduced by the Stock Exchange in April 2018.

Hua Medicine priced its offering at HK$8.28 (approximately US$1.05) per offer share and offered 104,756,000 global offering shares, subject to the overallotment option.

Founded in 2011, Shanghai-based Hua Medicine is a leading, innovative development company, currently focused on developing a global first-in-class oral drug, Dorzagliatin or HMS5552, for the treatment of Type 2 diabetes, and mGLUR5, a potential novel drug candidate for the treatment of Parkinson’s disease levodopa-induced dyskinesia (PD-LID).

The Shearman & Sterling team was led by partners Matthew Bersani (Picture) and Colin Law, with support from counsel Edward Bong, associate Alan Au and special associate George Chen (all Hong Kong-Capital Markets), associate Yuanjing Chen and special associate Cindy Liu (both Shanghai-Capital Markets). Other lawyers involved in the transaction include partner Jordan Altman and associate Marie-Alexis Valente (both New York-IP Transactional).

Involved fees earner: Matthew Bersani – Shearman & Sterling; Colin Law – Shearman & Sterling; Edward Bong – Shearman & Sterling; Alan Au – Shearman & Sterling; George Chen – Shearman & Sterling; Yuanjing Chen – Shearman & Sterling; Cindy Liu – Shearman & Sterling; Jordan Altman – Shearman & Sterling; Marie-Alexis Valente – Shearman & Sterling;

Law Firms: Shearman & Sterling;

Clients: Guotai Junan Securities Co., Ltd.; CLSA Limited; UBS AG; Goldman Sachs (Asia) L.L.C.;

Author: Michael Patrini