PE-owned Luye Pharma seeks up to $764m in HK IPO

The company and its investors are selling 999.6 million shares at HK$5.38-5.92 apiece, according to Bloomberg. Six cornerstone investors are said to have committed to covering $280 million of the offering. Value Partners Group will purchase $100 million of shares, while Orbimed and Prime Capital will each invest $50 million.

The company plans to start trading in Hong Kong on July 9.

Luye delisted from the Singapore exchange in 2012 following a management buyout that valued the company at about S$641 million ($513 million). This transaction saw CDH, CITIC PE and New Horizon bought 77.41% of Luye from North Asia-focused buyout firm MBK Partners. 

Founded in 1994 and headquartered in Shanghai, Luye is a major specialty pharmaceutical company focusing on drug-delivery systems in China. It develops and sells patented prescription medicines in various fields, including oncology, orthopedics and neurology.

The company employs more than 3,000 staff and plans to use the IPO proceeds to fund acquisitions, R&D and increase production capacity.

Citigroup, UBS and CITIC Securities are managing the share sale.

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• Topics
• Greater China
• Healthcare
• Exits
• China
• Pharmaceuticals
• healthcare
• GIC Private
• CDH Investments Management
• CITIC Capital
• Exit
• IPO