Smartkarma Daily Briefs

• Jiangsu Hengrui Pharmaceuticals (1276 HK) priced its H Share at HK$44.05 to raise HK$9,890.1 million (US$1.3 billion) in gross proceeds. The H Share will be listed tomorrow.
• The timing of the H Share listing is fortuitous, as the peers have materially re-rated since the prospectus was released on 15 May.
• Hengrui had the highest oversubscription rates among recent large AH listings. The AH discount implied by the offer is attractive.

• Samsung C&T’s holding ratio mainly hinges on its Samsung Biologics stake; Samsung Electronics’ 5% isn’t counted, and Samsung SDS is excluded since Samsung Electronics is its largest shareholder.
• This ties to calls for Samsung’s governance overhaul, aiming for C&T to avoid forced conversion while boosting control over Samsung Electronics via bold, more aggressive moves than expected.
• Samsung C&T will likely sell some Biologics shares around its in-kind contribution to Epis, timing sales based on post-listing price action.

• On 22 May, Samsung Biologics (207940 KS) announced that that it plans to establish a new holding company called Samsung Bioepis Holdings through a spin-off.
• Samsung Bioepis Holdings will fully incorporate Samsung Bioepis as a wholly owned subsidiary. Samsung Bioepis will focus on the biosimilars business. Samsung Biologics will focus on the CDMO business. 
• There is likely to be mixed reactions to Samsung Biologics’ announcement to create a holding company structure to split the CDMO and biosimilar businesses.

• Jiangsu Hengrui Pharmaceuticals (1276 HK) (JHP, 600276 CH ), a China-based pharmaceutical company, raised around US$1.5bn in its H-share listing.
• JHP Has been ranked as one of the global Top 50 pharmaceutical companies by Pharm Exec for six consecutive years since 2019.
• We have looked at the company’s past performance and other deal dynamics in our previous note. In this note, we talk about trading dynamics.

• Mirxes raised HKD 1086m (USD 140m) from its global offering and will list on the Hong Kong Stock Exchange on Friday, May 23rd.
• In our previous note, we looked at the company’s core gastric cancer early detection products and brief analysis of its valuation.
• In this note, we provide an update for the IPO before trading debut. The free float shares are highly concentrated.

OSE Immunotherapeutics has announced a new strategic collaboration with Inside Therapeutics and MiNT Laboratory (University of Angers) to develop mRNA therapies and accelerate nanodrug development. OSE has received €1.3m in non-dilutive funding to lead the 36-month programme, titled ‘HexARN’, from Bpifrance (a French public sector investment bank) as part of the ‘France 2030’ investment plan. We note that OSE has previously received similar funding as part of this initiative for other projects. Since there is no immediate read-across to near-term catalysts or OSE’s clinical-stage programmes, we do not plan to make any adjustments to our estimates. However, the collaboration is consistent with the company’s approach of leveraging academic and industrial partnerships to expand its long-term optionality, in our view, and we believe the funding serves as encouraging external recognition of OSE’s R&D capabilities.

• Reviva is a research and development pharmaceutical company with two portfolio compounds targeting nine indications.
• The candidates address multiple related mental disorders, rare diseases & other categories of un met need.
• Reviva’s lead indication in schizophrenia with brilaroxazine completed its 1st Phase III trial & is set to begin its 2nd in 2025.

• On May 14, 2025, MetaVia Inc. (MTVA) announced financial results for the first quarter and provided a business update.
• The company recently announced positive topline results from the Phase 1 MAD trial of DA-1726 in obesity that showed statistically significant weight loss and potential best-in-class results for glucose control, waist reduction, and tolerability.
• MetaVia will be adding additional cohorts to the study to determine a maximum tolerated dose.

• Hinge Health priced a full-size deal of 13.666mm shares at the high-end of the range, $32.00 and opened for trading at $39.25 for a gain of 21.9% at first trade.
• According to our sources, the deal finished north of 15-times oversubscribed.  We are told that the deal was made more “exclusive” with one-third of the book being completely shut-out.
• Another virtual healthcare provider, Omada Health, recently filed for its IPO. If the valuation of Omada Health is more aggressive, it could provide a boost to Hinge Health’s price.

• Stryker Corporation reported a strong first quarter, reflecting continued robust demand and effective commercial execution across its diverse product portfolio.
• The company’s financial outcomes underscore balanced growth and strategic maneuvering, driven by both organic growth and strategic acquisitions.
• Stryker demonstrated vigorous organic sales growth at 10.1% year-over-year, notably achieving double-digit growth in its MedSurg and Neurotechnology divisions.