Adagene, a China-based immuno-oncology drug developer backed by pharmaceutical firm WuXi AppTec and conglomerate New World Development, has raised nearly $140m in its initial public offering.
The company issued approximately 7.35 million American Depositary Shares (ADSs), representing just over 9.19 million ordinary shares, priced at $19 each. It now trades on the Nasdaq Global Market under the symbol ADAG and shares closed at $25.56 yesterday.
Founded in 2011, Adagene is working on cancer immunotherapies and it will use the IPO proceeds to advance three assets through phase 1 trials and into phase 2 studies. The money will also cover preclinical and further platform development.
Adagene closed a $69m series D round in January 2020 backed by WuXi AppTec and New World Development. The round was led by General Atlantic and also included undisclosed investors.
Sequoia Capital China led a $50m series C round in 2018, when WuXi AppTec and New World TMT, a subsidiary of New World Development, as well as Fidelity-affiliated Eight Roads Ventures, Avic Trust, King Star Capital, Gopher Asset Management and unnamed backers also took part.
GP Healthcare Capital led a $28m series B round in 2016, which also featured New World TMT, WuXi AppTec’s Corporate Venture Fund, Eight Roads Ventures China and fellow Fidelity unit F-Prime Capital.
WuXi Venture Fund had already contributed to an $8m series A round in 2014 together with Fidelity Asia Growth and F-Prime.
Peter Luo is the trustee for an act-in-concert group that owns a 19.5% stake following the listing (down from 23.5%). GP Healthcare Capital retains a 10.2% stake, followed by Eight Roads and F-Prime (9.2 each%), WuXi (8.9%) and General Atlantic (8.4%).
Goldman Sachs (Asia), Morgan Stanley, Jefferies and China Renaissance Securities (Hong Kong) are acting as underwriters for the offering. They have been granted a greenshoe option to purchase up to an additional 1.1 million ADSs.
