According to VCBeat, Peijia Medical (stock code: 09996-HK), a provider of medical devices for heart valve disease treatment, has raised HK$2.34 billion (US$302 million) in a strongly supported initial public offering on the Hong Kong Stock Exchange. It sold 152.5 million shares or 25% of the expanded share base, at HK$15.36 per share which gives the company a market cap of US$1.2 billion.
After the launch of the IPO, 10% of the public offerings was 1,183.4 times heavily over-subscribed, and the proportion of the IPO under the callback mechanism increased to 50%. It is said that Peijia Medical is hopeful to be crowned this year "King of Frozen Capital".
Morgan Stanley and Huatai International were co-sponsors of the Hong Kong IPO, according to the prospectus. Zhang Yi, founder and CEO of Peijia Medical holds 30.93% of the shares, while MatrixPartners China holding 10.07% and Hillhouse Capital holding 9.33% respectively are the top two institutional investors, with Yu Zhiyun, managing director of MatrixPartners China, serving as a non-executive director. Peijia Medical is expected to raise a total of US$300 million.
The funds will be mainly used for the development and commercialization of TaurusOne®, Peijia Medical's core product, and clinical trials, registration and filing, and launch of other products under development, as well as R&D capacity improvement and potential strategic acquisition.
Established in early 2012, Peijia Medical provides R&D and production of interventional medical products. The company covers an area of about 10000 square meters, within which laboratory and controlled environment room taking about 1800 square meters.
As a leader in the Chinese market of devices used in transcatheter valve therapy and neurointerventional surgery, and one of the only four domestic participants in the Chinese market with transcatheter aortic valve replacement (TAVR) devices in clinical trials or later stages, Peijia Medical has always been the focus of attention on its way to market.
About Morgan Stanley
Morgan Stanley is an American financial services company that offers securities, asset management, and credit services. The firm has continually broken new ground in advising their clients on strategic transactions, in pioneering the global expansion of finance and capital markets, and in providing new opportunities for individual and institutional investors.
About Huatai International
Huatai International is the only overseas wholly-owned or controlled subsidiary of Huatai Securities, which plays a crucial role in the group's internationalization strategy. Huatai International operates as a holding company for consolidating all of Huatai Securities’ cross-border businesses and companies under one umbrella, offering a truly unified and international business platform.