MAINLAND biotech firm Innovent Biologics priced its Hong Kong initial public offering (IPO) near the top of an indicative range, raising US$421 million in the city’s largest biotech IPO this year, two sources familiar with the matter said.

Innovent Biologics, which is backed by mutual fund giant Fidelity and Singapore state investor Temasek, sold about 236 million new shares, or 21 percent of its enlarged share capital, at HK$13.98 (US$1.78) each, the sources said, declining to be identified as the information was not public.

The deal comes at a time when some IPO candidates such as Tencent Music Entertainment have postponed share sales due to a rout in global markets.

Innovent Biologics chief financial officer Ronald Ede said last week the company had decided to press ahead with the listing plans primarily due to investor support.

“The market certainly has its own mechanism ... but we think that with reasonable pricing, our investors will continue to support us, support the company’s long-term value,” he said.

Innovent Biologics is the latest company looking to take advantage of new rules introduced by the Hong Kong stock exchange to woo early-stage drug developers, after Ascletis Pharma, Hua Medicine and NASDAQ-listed BeiGene.

Biotech firms with no profit or revenue are now allowed to go public in Hong Kong as the city looks to attract more new-economy companies in its competition for public floats with New York.

Nine biotechs including Ascentage Pharma and Wuxi AppTec have so far filed for Hong Kong listings. (SD-Agencies)