News Category: Portfolio

REDWOOD CITY, Calif., Oct. 05, 2020 (GLOBE NEWSWIRE) — Pulmonx Corporation (Nasdaq: LUNG) (“Pulmonx”), a commercial-stage medical technology company that provides a minimally invasive treatment for patients with severe emphysema, today announced the closing of its initial public offering of 11,500,000 shares of its common stock, including the exercise in full by the underwriters of their option to purchase 1,500,000 additional shares of common stock, at the initial public offering price of $19.00 per share. The gross proceeds to Pulmonx, before deducting underwriting discounts and commissions and offering expenses, were approximately $218.5 million. The shares began trading on The Nasdaq Global Select Market on October 1, 2020, under the symbol “LUNG.”

BofA Securities and Morgan Stanley acted as joint lead book-running managers for the offering. Stifel, Wells Fargo Securities and Canaccord Genuity acted as lead managers for the offering.

The offering was made only by means of a prospectus. A copy of the final prospectus related to the offering may be obtained from: BofA Securities, Attention: Prospectus Department, NC1-004-03-43, 200 North College Street, 3rd Floor, Charlotte, NC 28255-0001, by telephone at 1-800-294-1322 or by email at dg.prospectus_requests@bofa.com; or Morgan Stanley, Attention: Prospectus Department, 180 Varick Street, 2nd Floor, New York, NY 10014, by telephone at 1-866-718-1649 or by email at prospectus@morganstanley.com.

A registration statement relating to the shares sold in this offering has been filed with, and was declared effective by, the Securities and Exchange Commission on September 30, 2020. Copies of the registration statement, as amended, can be accessed through the Securities and Exchange Commission’s website at www.sec.gov.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification of these securities under the securities laws of any such state or jurisdiction.

 

Proceeds to support the clinical development of Atea’s oral, direct acting antiviral medicine for COVID-19, in addition to advancing its diverse pipeline of treatments for viral diseases

Investigational new drug application cleared by U.S. Food and Drug Administration to start Phase 2 study of AT-527, Atea’s oral purine nucleotide prodrug for patients hospitalized with moderate COVID-19

BOSTON, May 20, 2020 (GLOBE NEWSWIRE) — Atea Pharmaceuticals, Inc., a biopharmaceutical company engaged in the discovery and development of next-generation therapeutics for severe human viral infections, today announced a $215 million Series D financing. The financing was led by Bain Capital Life Sciences and also included new investors RA Capital Management, Perceptive Advisors, Rock Springs Capital, Adage Capital Management, funds and accounts managed by T. Rowe Price Associates, Inc., Redmile Group, and Omega Funds. Existing Atea investors, including Morningside Ventures, Cormorant Asset Management, Ally Bridge Group, and Sectoral Asset Management, as well as other investors also participated in this financing.

Atea also announced today that the U.S. Food and Drug Administration (FDA) has cleared its investigational new drug application (IND) for AT-527, a novel, oral, purine nucleotide prodrug, for the treatment of adult patients hospitalized with moderate COVID-19 disease, with one or more risk factors for poor outcomes. A Phase 2 clinical trial, scheduled to begin shortly, will evaluate the safety and efficacy of AT-527 in this patient population.

AT-527 is a highly selective, orally administered direct acting antiviral, (DAA) designed to inhibit the RNA polymerase enzyme, a key element in the replication machinery of RNA viruses. Antiviral activity of AT-527 has been observed in vitro and in vivo against replication of multiple RNA viruses including, but not limited to, human coronaviruses and flaviviruses.

In addition to supporting its work to find a treatment for COVID-19, Atea expects to also apply proceeds from this financing towards advancing its diverse pipeline of highly selective DAAs that target other severe RNA viral infections. Atea’s pipeline currently includes investigative treatments for hepatitis C virus, dengue virus, and respiratory syncytial virus, in addition to its COVID-19 program.

“We are delighted to have the strong support of this group of blue-chip healthcare investors,” said Jean-Pierre Sommadossi, PhD, Atea’s Founder, Chairman, and Chief Executive Officer. “Atea’s portfolio is focused on developing novel, best-in-class, potent DAA’s and we have shifted all of our immediate resources and our team’s deep expertise in virology and pharmacology to help address the unmet needs in the fight against the COVID-19 pandemic.  An oral treatment for COVID-19 patients should prevent progression of the disease and may help lessen the burden on critical inpatient resources. Atea is moving rapidly, in concert with regulatory authorities, to determine if our oral DAA is a safe and effective therapeutic against COVID-19.”

“Atea’s team has an outstanding track record in developing novel, potent DAAs, which we believe can contribute to the urgent fight against the COVID-19 pandemic and other RNA viruses,” said Andrew Hack, M.D., Ph.D., Managing Director of Bain Capital Life Sciences. “We are pleased to partner with Atea’s leadership team and an outstanding group of leading healthcare investors as Atea advances its diverse pipeline of transformative antiviral medicines”

About AT-527

AT-527 is an investigational, oral, purine nucleotide prodrug, which has demonstrated in vitro and in vivo antiviral activity against several enveloped single-stranded RNA viruses, including human flaviviruses and coronaviruses. This highly selective purine nucleotide prodrug was designed to uniquely inhibit viral RNA dependent RNA polymerase, an enzyme that is essential for the replication of RNA viruses. Antiviral activity and safety of AT-527 has been demonstrated in Phase 2 clinical studies of hepatitis C patients. AT-527 is not yet licensed or approved for any indication in the U.S. or any other country.

About Atea Pharmaceuticals

Atea Pharmaceuticals is a clinical stage biopharmaceutical company engaged in discovering and developing best-in-class therapies to address the unmet medical needs of patients with severe viral diseases. Our lead programs are focused on the development of orally-administered direct acting antivirals for the treatment of patients with mild to moderate COVID-19 in the hospital and community settings, the treatment of patients with chronic hepatitis C infection, the treatment of patients with dengue, and the treatment of high-risk patients with severe respiratory syncytial virus infection. Our medicinal chemistry, virology, and pharmacology expertise, bolstered by our collective experience in drug development, enables us to pioneer new advancements in antiviral science. Leveraging the power of our purine nucleotide prodrug platform, our goal is to rapidly advance novel drug candidates with optimal therapeutic profiles for RNA virus targets. Founded by its Chairman and Chief Executive Officer, Jean-Pierre Sommadossi, PhD, Atea began operations in 2014 and is headquartered in Boston, MA. For more information about Atea and our pipeline of products please visit our company website at https://www.ateapharma.com/.

REDWOOD CITY, Calif.–(BUSINESS WIRE)–Pulmonx Corporation, a commercial-stage medical technology company that provides a minimally-invasive treatment for patients with severe emphysema, announces a $66 million financing led by Ally Bridge Group, a leading global life science investor. The financing also attracted new investors Adage Capital Management, HealthQuest Capital, Partner Fund Management, and Rock Springs Capital, as well as existing investors. In addition, $17 million in growth capital was secured through CIBC Innovation Banking to refinance an existing debt facility.

Proceeds from this financing will ensure that Pulmonx is well-capitalized to support the continued global commercial expansion of the Zephyr Valve System, the first FDA-approved minimally-invasive treatment option for severe emphysema, a form of COPD. The Zephyr Valve procedure, done through a simple bronchoscopy with no incision or tissue resection, is clinically proven to improve patients’ breathing, exercise capacity, and quality of life, without the risks of major surgery.

“Ally Bridge is pleased to support Pulmonx in this oversubscribed financing,” said Frank Yu, Founder, CEO and CIO of Ally Bridge Group. “The combination of Pulmonx’ Zephyr Valve System, patient assessment tools, established reimbursement programs, and global commercial footprint positions it as the world leader in interventional COPD procedures.”

Emphysema is a progressive and life-threatening form of Chronic Obstructive Pulmonary Disease (COPD) and represents about 25% of all COPD patients. In the United States, COPD is the third leading cause of death and is expected to be associated with approximately $49 billion in direct medical costs in 2020. Emphysema is a debilitating and life-threatening disease that progressively destroys lung tissue, resulting in a diminishing ability to breathe and engage in the most basic daily activities, leading to further deconditioning and to a high mortality rate. It is estimated that more than 1.2M severe emphysema patients in the US, Europe and Japan are candidates for the Zephyr Valve treatment. Medical therapy delivers limited benefit in later stage patients, and because of the high risks and limited availability, surgical options are only available for a narrow patient population.

“We are pleased to be able to accelerate our efforts to bring our landmark technology to severe emphysema patients who need it,” said Glen French, CEO of Pulmonx. “The recently secured financing will ensure we are able to continue to scale our commercialization efforts to meet the global demand for our Zephyr Valve System, as well as continue R&D efforts on new minimally-invasive pulmonary treatments.”

About Bronchoscopic Lung Volume Reduction with the Zephyr Valve

Bronchoscopic lung volume reduction with the Zephyr Valve is a one-time procedure performed through a bronchoscope, which requires no cutting or incisions. During the procedure, an average of four valves are placed in the airways to block off a diseased portion of the lung. The target area then reduces in size and allows adjacent healthier lung tissue to expand and function more efficiently. This results in patients being able to breathe more easily and experience less shortness of breath. Many patients treated with the Zephyr Valves have reported immediate relief and the ability to go back to doing everyday tasks with greater ease within weeks of treatment. Data from four published randomized controlled clinical studies have proven that the Zephyr Valve delivers significant and persistent improvement in pulmonary function, exercise capacity, breathlessness, and quality of life with less morbidity and mortality than surgical treatment options.^2,3,4,5 These data have led to the inclusion of Zephyr Valves in several national and global treatment guidelines including the UK’s National Institute for Health and Care Excellent (NICE) and the Global Initiative for Chronic Obstructive Lung Disease (GOLD) which gives endobronchial valves a level ‘A’ evidence rating, the highest rating possible.

About Pulmonx Corporation

Pulmonx is the global leader in interventional procedures for the treatment of COPD. It develops and markets non-surgical technologies for the assessment and treatment of patients with severe emphysema, a progressive and life-threatening form of COPD. The Pulmonx solution, which is comprised of the Zephyr Endobronchial Valve (Zephyr Valve), the Chartis Pulmonary Assessment System (Chartis System) and the StratX Lung Analysis Platform, is designed to treat severe emphysema patients who, despite medical management, are still profoundly symptomatic and either do not want or are ineligible for surgical approaches. The technology is supported by a compelling body of clinical evidence including over 100 published scientific articles regarding the clinical benefits of Zephyr Valves. FDA granted the Zephyr Valve a “breakthrough device” designation, and in June 2018 Pulmonx received FDA pre-market approval to commercialize our Zephyr Valve. The Zephyr Valve is now commercially available and physicians in more than 25 countries around the world routinely use the Zephyr Valves to improve the lives of patients with severe emphysema, with over 76,000 valves used to treat more than 19,000 patients worldwide to date.

In addition to the Zephyr Valve System, the Company is planning further clinical trials of AeriSeal®, a foam-based lung sealant delivered through a bronchoscope to treat the subset of advanced emphysema that cannot be treated with the Zephyr valve. For more information, visit www.MyLungsMyLife.com.

San Francisco, April 30, 2020 — Virtual healthcare platform, Vida Health, announced today that it raised $25 million in new funding to meet the increased demand for mental and physical virtual care. The funding was led by Ally Bridge Group (ABG), a leading global life science investment firm. Returning investors include Yahoo! founder Jerry Yang’s AME Cloud Ventures, Aspect Ventures, Canvas Ventures, NGP Capital, Webb Investment Network, and Workday Ventures.

The COVID-19 pandemic is shining a light on the growing need for virtual, personalized mental and physical care. Since COVID was declared a pandemic in early March, Vida Health has launched to 500k+ new lives, bringing the total number of covered lives to more than 1.4 million. Vida Health co-founder and CEO Stephanie Tilenius said the funding will be used to help meet the increased demand for virtual care, particularly in mental health.

“Every founder hopes to see the company they’ve worked so hard to build become part of a solution to something big,” said Tilenius. “While I never would have hoped for a tragic pandemic like COVID-19, I’m thankful that our platform is ready and able to meet this increased demand and improve the lives of those chronic patients who are most at risk of serious complications from this virus.”

Investors also see why virtual healthcare is especially important at this time.

“The COVID-19 pandemic has made it obvious that continuous, comprehensive, virtual care, is playing a key, ever-increasing role in healthcare,” ABG Founder, CEO and CIO Frank Yu said. “With a robust holistic product platform, a provider network that encompasses the United States, and best-in-class outcomes in programs ranging from weight loss to diabetes to heart diseases management, we believe that Vida Health is well positioned to play a leading role in transforming healthcare. We look forward to supporting the company as it moves towards scaling its polychronic platform into more employers, health plans and lives, particularly in the wake of COVID-19’s illuminating role in accelerating the prioritization of mental healthcare.”

“Vida Health’s virtual approach of continuous care for multiple chronic conditions — focusing on the intersection of mental and physical health — is exactly where healthcare needs to go,” said Jerry Yang of AME Cloud Ventures, and co-founder of Yahoo!. “As a Vida Health investor, I’m really excited about the company’s progress with important customers and strong growth.

Especially in these COVID-19 times, the immediate need for digital care to help people with chronic and mental health conditions including anxiety and depression is more important than ever.”

Since launching in 2014, Vida has fine-tuned its approach to mental health. Participants working with Vida’s nationwide therapy coverage in all 50 states, have shown an average reduction of anxiety and depression by more than 50%. One Fortune 500 customer saw an average reduction of 84% in depression scores and 72% in anxiety scores, as assessed by the clinically validated Patient Health Questionnaire (PHQ-8) and the Generalized Anxiety Disorder Scale (GAD-7), respectively.

Mental and behavioral disorders affect 50+ million people in the U.S. and, according to the National Institutes of Health, cost the U.S. economy $193.2+ billion in lost productivity and earnings. Yet, historically, 60% of those affected don’t seek treatment. With COVID-19 exacerbating uncertainty, anxiety, and depression, virtual mental health has seen a dramatic increase in demand in the last several months.

About Vida Health

Vida Health is a leading virtual care platform that was designed from the ground up to treat multiple chronic health conditions simultaneously, through a balance of machine learning that personalizes each person’s treatment and a human connection with real life health coaches and therapists who bring the empathy and accountability people need to reach their goals. Vida Health’s services are delivered through a mobile platform that supports individuals in preventing, managing and reversing chronic conditions such as pre-diabetes, diabetes, hypertension, obesity, depression, anxiety, etc. The platform integrates deep individual expert care with data-driven technology and remote monitoring to deliver best-in-class health outcomes and cost savings to employers and health plans. To-date, some of the largest nationwide health plans and employers have benefited from Vida’s unique offering.

JERUSALEM, Feb 18 (Reuters) – Israel’s Mavrik Dental Systems has raised $30 million in a funding round led by life sciences investment firm Ally Bridge Group (ABG), the companies said on Tuesday.

Mavrik provides technologies for in-office dental treatment. Following ABG’s investment, Mavrik will move commercial operations to the United States while keeping its product development center in Israel, the companies said in a statement.

ABG is a life science-dedicated investment firm based in Hong Kong and New York. It manages over $2 billion in life science assets, both private and public, in the United States, China, and Europe.

CAMPBELL, Calif.–(BUSINESS WIRE)–Imperative Care, Inc. today announced that it has completed the initial closing of a Series C financing of $85 million to support the commercial launch of the company’s portfolio, which is composed of the latest advances in neurovascular devices treating ischemic and hemorrhagic strokes.

The round was co-led by new investors Ally Bridge Group and Bain Capital Life Sciences. Existing Imperative Care investors Ascension Ventures, Delos Capital, Rock Springs Capital, 3H Health Investment, and Incept LLC also strongly participated in the round. Frank Yu, Ally Bridge’s founder, and Andrew Hack, M.D., Ph.D., Managing Director of Bain Capital, will join Imperative Care’s Board of Directors.

“We are thrilled to have Ally Bridge and Bain Capital leading this round of financing at this important stage in our company’s growth. We look forward to Frank and Andrew’s support and guidance as we continue to propel forward Imperative Care’s unique mission,” said Fred Khosravi, Chairman and CEO of Imperative Care. “This is an exciting time for our company. We are poised to launch the industry’s first Large Distal Platform (LDP) access technology and our unparalleled ZOOM™ Aspiration System. In addition, we continue to develop a pipeline of innovations in the continuum of stroke-care, with significant investment and emphasis on clinical evidence.”

Imperative Care has received 510(k) clearance from the U.S. Food and Drug Administration (FDA) for its family of access catheters designed to facilitate smooth, consistent navigation into blood vessels of the brain. The company has also received FDA clearance for its ZOOM Aspiration System, a family of products designed to facilitate clot removal during ischemic stroke.

Stroke remains a largely unaddressed problem that affects over 800,000 Americans each year. The number of deaths due to stroke continues to rise, and a recent study published in The New England Journal of Medicine estimates that the global risk of stroke from the age of 25 years onward is approximately 25% among both men and women. Treatment options have significantly improved over the last decade, but the need for improved effectiveness and efficiency remains.

Imperative Care was co-founded in 2016 by Dr. Nick Hopkins, a pioneer of endovascular neurointervention and founder and Chief Scientific Officer of Jacobs Institute, and Fred Khosravi, a medtech entrepreneur and innovator. Imperative Care is the twenty-first start-up founded by Khosravi and the Incept LLC medical technology accelerator in the past 21 years.

About Imperative Care, Inc.

Based in Campbell, Calif., Imperative Care is speeding new answers to stroke by developing a portfolio of innovative solutions to address the vast and urgent unmet needs in stroke care. The company is singularly dedicated to improving the way stroke is treated by advancing medical technology, equipping healthcare providers to evolve best practices and elevate the standard of care for stroke patients. For more information, visit http://www.imperativecare.com/.

SAN JOSE, Calif., Dec. 3, 2019 /PRNewswire/ — Venclose, Inc., a privately-held Silicon Valley medical device company focused on innovative treatment procedures for venous reflux disease, today announced it has closed its Series C funding led by Ally Bridge Group (ABG). ABG is a global life science-focused group with a successful investment record globally in supporting high-growth innovative life science companies.

“Securing this financing further confirms continued investor confidence in Venclose’s successful direction,” said Venclose Chairman and CEO Jerry Gibson. “It follows on the heels of having met our Q3 goal that establishes high volume catheter production capability with our strategic manufacturing partner, Viant Medical. Our competitive position and revenue momentum are converging forces that will fuel our success in addressing the unmet needs of physicians and their patients in the treatment of venous reflux disease,” Mr. Gibson added.

With the closing of this funding, Venclose anticipates that it will have the necessary funds to accelerate its commercial footprint in the US, expand globally, and invest in selective product portfolio additions.

“With its superior, next-generation product on the market, we are excited to add Venclose into our best-in-class medtech portfolio after leading a total of US$365 million investments in two other best-in-class Silicon Valley life science companies – GRAIL and Pulmonx,” said Frank Yu, Founder and Chief Executive Officer, Ally Bridge Group. “We are pleased to fund the acceleration of Venclose’s US and global commercialization effort as it also invests in expanding its category offerings,” Mr. Yu added.

The VENCLOSE System is the next-generation, best-in-class endovenous RF ablation system designed to close the damaged vein and restore healthy blood flow in patients with venous reflux disease, a progressive medical condition which is often associated with varicose veins.

About Venclose, Inc.

Venclose is a privately held, commercial-stage Silicon Valley medical technology company developing next-generation solutions for the treatment of venous reflux disease, also known as chronic venous insufficiency (CVI). CVI is a progressive medical condition affecting more than 40 million adults in the United States alone. The VENCLOSE RF Ablation System offers physicians more versatility than earlier generation endovenous radiofrequency ablation technologies and is commercially available in the United States and Europe. For more information, visit www.venclose.com.

About Ally Bridge Group

Ally Bridge Group (“ABG”), founded and led by Frank Yu (previously at Goldman Sachs and Och-Ziff Capital), is a global life science-focused investment firm. ABG and its affiliates manage over US$3 billion in life science assets, both private and public, in the U.S., China, and Europe, from medtech to biopharmaceuticals. ABG focuses on investing in the world’s most innovative medicines and leading high-impact transactions. In 2015, ABG initiated, led and completed the landmark US$3.3 billion NYSE take-private of Wuxi Pharmatech. Over the past 18 months, ABG led nearly US$400 million completed private investments in industry-leading life science companies, including GRAIL, Pulmonx and Venclose, all based in Silicon Valley. ABG has expertise in cementing strategic partnerships between emerging life science companies and industry leaders, and across different geographies. For more information, please visit www.ally-bridge.com.

REDWOOD CITY, Calif.–(BUSINESS WIRE)–Pulmonx Corporation, a global leader in diagnostic and therapeutic pulmonary device technologies, announced today the closing of an oversubscribed $65 million equity financing and the hiring of Derrick Sung, Ph.D. as its Chief Financial Officer.

The financing was led by Ally Bridge Group, a leading global life science-dedicated investment group, and included other new investors RTW Investments, ArrowMark Partners, and Driehaus Capital Management, as well as existing investors.

“We are grateful to have attracted substantial new investment from this distinguished group of private and public healthcare investors,” said Glen French, President and CEO.

“We are very pleased to welcome Charles Chon, Partner and Managing Director of Ally Bridge Group’s medical technologies effort to the Pulmonx Board of Directors,” said Rodney Perkins, MD, Chairman of the Board.

“Pulmonx also welcomes Derrick Sung, Ph.D., as our new Chief Financial Officer,” said Glen French. “In this new role Derrick will lead and further strengthen the company’s outstanding finance team, and directly contribute to strategic and operational imperatives. I very much look forward to working with Derrick to realize the full potential of Pulmonx.”

Derrick brings to Pulmonx over 20 years of finance, strategy, and commercial experience across multiple facets of the medical device industry. Prior to joining Pulmonx, Derrick was Executive Vice President, Strategy & Corporate Development at iRhythm Technologies, Inc. (NASDAQ: IRTC), where he set strategic and financial direction for the company and helped guide iRhythm through a successful IPO. Prior to iRhythm, Derrick spent seven years on Wall Street as the senior equity research analyst covering the medical device sector for Sanford C. Bernstein & Company. Previously, Derrick was Director of Marketing and Business Development in Boston Scientific Corp.’s Neuromodulation Division; a management consultant at the Boston Consulting Group; and he started his career as an R&D engineer designing heart catheters for Guidant Corporation, now a part of Abbott Vascular.

With the addition of Derrick Sung and the expansion of a broadly engaged investor syndicate, Pulmonx continues to be well-positioned to lead the emerging global field of interventional pulmonology.

More on the Zephyr Valves

Zephyr^® Valve is a less invasive treatment option for severe emphysema/COPD that has been shown to deliver life-changing benefits to patients without the risk of major surgery. Clinical benefits include improved quality of life, less shortness of breath, and the ability to be more active.^[1]

The Zephyr Valves are placed in a single bronchoscopic procedure with no incision. The procedure carries much less risk than surgical options including lung volume reduction surgery (LVRS) and lung transplantation.

During the procedure, an average of four Zephyr Valves are placed in the airways to block off a diseased portion of the lung, which is thereby reduced in size. Reducing hyperinflation and preventing air from getting trapped in the diseased parts of the lung allows the healthier lung tissue to expand and take in more air. This results in patients being able to breathe easier and have less shortness of breath.^[1] Patients treated with the Zephyr Valves have reported immediate relief and the ability to go back to doing everyday tasks with greater ease.

The Zephyr Valve was approved by the FDA through an expedited review because, according to FDA, it “represents a breakthrough technology as the device offers bronchoscopic lung volume reduction without surgery and its associated risks. This device offers a significant, clinically meaningful advantage over the current standard of care and therefore its availability, is also in the best interest of patients.”^[2] Since 2007 more than 15,000 patients have been treated with the Zephyr Valve worldwide. The Zephyr Valve treatment is included in emphysema treatment guidelines issued by leading health organizations worldwide, including the Global Initiative for Chronic Obstructive Lung Disease (GOLD) and the UK’s National Institute for Health and Care Excellence (NICE).

More about COPD and Emphysema

More than 15 million Americans suffer from COPD, and 3.5 million of those patients have emphysema.^[3] Despite taking the best available medications, over one million emphysema patients suffer symptoms of hyperinflation, where air becomes trapped in the lungs and prevents fresh air from entering the lungs, thereby causing severe shortness of breath. Breathing becomes inefficient and patients must work very hard just to breathe – making normal activities, like walking, eating, or even bathing difficult. There are few treatment options for most patients with emphysema and there is no cure. Until now, the only other options for these patients were highly invasive treatments such as lung volume reduction surgery or lung transplantation.

About Pulmonx Corporation

Based in Redwood City, California, and Neuchâtel, Switzerland, Pulmonx is the world leader in interventional pulmonology diagnostics, planning tools, and treatments for obstructive lung disease. For more information, visit www.MyLungsMyLife.com.

[1] Am J Respir Crit Care Med Vol 198, Iss 9, pp 1151–1164, Nov 1, 2018
[2] PMA P180002: FDA Summary of Safety and Effectiveness Data. June 29, 2018. https://www.accessdata.fda.gov/cdrh_docs/pdf18/P180002B.pdf.
[3] American Lung Association. Trends in COPD (Chronic Bronchitis and Emphysema): Morbidity and Mortality. March 2013.

HONG KONG and SHANGHAI, December 12, 2018– WuXi AppTec Co., Ltd. (“WuXi AppTec” or “the Company”; Stock code: 603259.SH/2359.HK) today announced the listing of approximately 116 million H-shares on the Main Board of the Hong Kong Stock Exchange. Based on the offer price of HK$68 per share, the net proceeds to be received by the Company are about HK$7,553 million (assuming the Over-allotment Option is not exercised).

The Hong Kong IPO will be used to enhance the Company’s capability and capacity worldwide. This could include acquiring CROs and CDMO/CMOs, developing cutting-edge technologies, fostering a healthcare ecosystem, boosting working capital, and repaying bank loans.

The listing adds the finishing touch to the WuXi’s IPO plans on both A-shares and H-shares. The two IPOs will provide strong capital support for the Company’s growth, enhance the Company’s international standing in drug research and development, and propel its global expansion.

The listing also marks a significant milestone in WuXi AppTec’s efforts to strengthen its open-access enabling capability and technology platform – including harnessing data and technologies – to enable scientists, entrepreneurs, doctors, and patients to participate in innovation. This networked healthcare ecosystem is vital for expediting the development of pharmaceutical and healthcare products to treat patients globally.

“We are entering a new stage of development for WuXi AppTec with today’s listing on the Hong Kong Exchange, and we are very grateful for the confidence and support we have received from the global investment community,” said Dr. Ge Li, Chairman and CEO of WuXi AppTec. “We will continue to enhance the capability and capacity of our platform to enable our collaborative partners worldwide. We aspire to foster a networked healthcare ecosystem, where scientists and entrepreneurs are empowered to participate, and together, to realize our vision – every drug can be made and every disease can be treated.”

About WuXi AppTec

WuXi AppTec (603259.SH/2359.HK) is a leading global pharmaceutical and medical device open-access capability and technology platform company with global operations. As an innovation-driven and customer-focused company, WuXi AppTec provides a broad and integrated portfolio of services to help our worldwide customers and partners shorten the discovery and development time and lower the cost of drug and medical device R&D through cost-effective and efficient solutions. With its industry-leading capabilities such as small molecule drug R&D and manufacturing, cell therapy and gene therapy R&D and manufacturing, drug R&D and medical device testing, WuXi platform is enabling more than 3,000 innovative collaborators to bring innovative healthcare products to patients, and to fulfill WuXi’s dream that “every drug can be made and every disease can be treated.”

Despite global trade headwinds and a choppy market for biopharma stocks in China, WuXi AppTec Co. Ltd. (Shanghai:603259; HKSE:2359) successfully price its Hong Kong listing within its proposed range Friday, raising HK$7.9 billion ($1 billion) based on its proposed number of shares. The listing is the third for a unit of New WuXi Life Science Ltd. since a 2016 deal that took the parent company private.

WuXi AppTec priced the offering at HK$68, middle point of its proposed range of HK$64.10-HK$71.50. The company is to announce the actual number of shares sold on Dec. 12.

The biopharma R&D services and manufacturing company had proposed to sell 116.5 million shares in Hong Kong. Based on a resulting total of 1.2 billion shares outstanding, including those listed in Shanghai, the Hong Kong offering price would value the company at HK$79.2 billion ($10.1 billion).

WuXi AppTec’s shares rose RMB0.11 to RMB80.10 in Shanghai on Friday, giving it a valuation on that exchange of about RMB84 billion ($12.2 billion).

A predecessor of the WuXi parent company traded on the New York Stock Exchange until December 2015, when an investor syndicate led by Chairman and CEO Ge Li and Ally Bridge Group took the company private in a $3.3 billion deal. In addition to WuXi AppTec’s dual listings, WuXi Biologics Inc. (HKSE:2269) also has gone public in China.

Last year, Ally Bridge’s Frank Yu told BioCentury an investor base in China would likely be more receptive than Wall Street to the parent company’s long-term growth plans, which involved investments in new facilities and R&D.

With WuXi AppTec’s Hong Kong offering, the subsidiaries will have raised more than $1.8 billion combined from the public markets. In its Shanghai listing in May, WuXi AppTec raised RMB2.3 billion ($354 million), while WuXi Biologics’ 2017 Hong Kong IPO raised HK$4 billion ($510 million). WuXi Biologics’ market cap has roughly tripled to HK$72.3 billion ($9.2 billion) since the time of its listing.

A third subsidiary, WuXi NextCode Genomics Inc., closed a $240 million series B round last year followed last month by a $200 million series C round.

WuXi AppTec’s Hong Kong listing comes during a difficult week for Chinese biopharma stocks. Reports suggested that pricing discounts on generic drugs under China’s centralized procurement program were greater than expected, while tensions rose between the U.S. and China related to trade and the arrest of a technology executive.

The company’s prospectus outlines heightened risks posed by recent trade tensions, as well as the expanded powers of the Committee on Foreign Investment (CFIUS) in the U.S. to review foreign investments in emerging technologies. WuXi AppTec acknowledged in the document that demand for its services could be significantly influenced by the U.S. government’s attitude toward China service providers in the biopharma industry. About 57% of its revenue comes from U.S. customers, and another 18% from European customers. It reported RMB6.9 billion ($1 billion) in total 2018 revenues through Sept. 30.

According to a Dec. 3 regulatory filing, WuXi AppTec plans to use about 37% of the proceeds from the offering to expand global capacity and capabilities, including developing clinical trial sites in China; to build a facility to manufacture cell and gene therapy components in Wuxi; and to establish a Hong Kong-based R&D innovation center.

It is earmarking about 27% of the proceeds to acquire CRO and CMO/CDMO companies and about 4% to invest and incubate in healthcare companies with “innovative business models,” including biotechs and healthcare IT and diagnostic companies.

Aftermarket performances on the Hong Kong exchange’s new biotech chapter have been mixed thus far. The first biotech to go public, Ascletis Pharma Inc. (HKSE:1672), has lost 55% of its value since listing, while Hua Medicine Ltd. (HKSE:2552) has been trading near its IPO price and Innovent Biologics Inc. (HKSE:1801) shares are up 56%.

Trading of WuXi AppTec shares in Hong Kong is to begin Dec. 13.