Deals and Financings

Jiangsu Hengrui Medicine out-licensed global rights (ex-China) for its clinical-stage anti-PD-1 monoclonal antibody to Incyte (INCY) in a deal potentially worth $795 million (see story). Incyte paid $25 million upfront. Hengrui’s SHR-1210 is expected to start a China Phase II trial in patients with solid tumor cancers in the next few months. Hengrui will retain rights in mainland China, Hong Kong, Macau and Taiwan. Incyte, headquartered in Delaware, described the relationship as a combination of licensing and collaboration. 

Ascletis Pharma, a Hangzhou clinical-stage novel biotech, raised $35 million in a funding led by C-Bridge Capital and joined by Tasly Pharma and Singapore-based Pavilion Capital (see story). The pre-money valuation of Ascletis was $300 million. Ascletis was founded in 2011 with $100 million in startup capital. Ascletis said it would use the proceeds to expand its pipeline, which currently stands at four in-licensed candidates, plus increase its global drug development capability and GMP commercial manufacturing. 

After a short eighteen months as a publicly owned company, iKang Healthcare (KANG) is considering a go-private offer from a group led by its Founder/Chairman/CEO (see story). iKang, headquartered in Beijing, operates private preventative healthcare clinics throughout China. The company raised $153 million in an IPO on the NASDAQ exchange in April 2014. Now, Mr. Ligang Zhang, the company’s CRO, together with FountainVest, a China private equity firm, proposes to take the company private at $17.80 per ADS, a modest 10.8% premium from the most recent close and a 27% increase from the $14/ADS IPO price. The offer values iKang at $1.1 billion. 

Celyad SA (Euronext: CYAD), a Belgium cell therapy company, announced an altered China collaboration with Medisun International of Hong Kong for greater China registration and distribution of  C-Cure® (see story). C-Cure is a stem cell-based treatment for ischemic heart failure that was developed by Mayo Clinic and licensed by Celyad. Medisun agreed to invest at least $22 million to register the treatment in China. The agreement was originally announced one year ago; now, the two entities have altered its terms.