Singapore biotech start-up Mirxes launches IPO in Hong Kong to raise $181 million

SINGAPORE - Singapore biotech firm Mirxes launched its initial public offering (IPO) in Hong Kong on May 15, aiming to raise HK$1.09 billion (S$181 million) to support stronger growth in the coming years.

After

filing several draft prospectuses in recent years

, the spin-off from Singapore’s A*Star is offering 46.62 million shares at HK$23.30 each. This will value the entire company at HK$6.4 billion.

About 10 per cent of the IPO offer will be available for public subscription in Hong Kong, with the remaining 90 per cent for international investors. 

Trading is expected to start on May 23.

The move comes amid a

drought in IPO numbers on the Singapore Exchange

(SGX). In 2024, the local bourse saw more delistings than IPOs – 20 companies delisted compared with four new listings, prompting the regulator to study how to revive the stock market.

Shein, the Chinese fast-fashion business based in Singapore since 2022, is

considering a London listing

with a potential £50 billion (S$86.3 billion) market valuation, which would make it one of the UK’s largest listed companies.

Several of Singapore’s best-known businesses, including super-app Grab and e-commerce group Sea, have opted for New York listings in recent years.

Mirxes, founded in 2014, focuses on microRNA-based cancer detection. Its flagship product, GastroClear, is the world’s first molecular blood test approved for early detection of gastric cancer in high-risk populations.

It also developed Singapore’s first Covid-19 polymerase chain reaction test kit, the Fortitude Kit, in collaboration with A*Star in 2020.

The proceeds from the IPO will be used to advance its cancer screening solutions, like GastroClear, alongside other pioneering projects.

The company also plans to expand its research and development capabilities and pipeline of products, as well as improve its profitability.

Beijing Xunrui Enterprise Management Partnership has agreed to subscribe to an equivalent of US$50 million (S$64.9 million) worth of shares, while Evergreen Gate, a subsidiary of Fosun International, will subscribe to US$7.92 million worth. 

Based on the offer price of HK$23.30, these cornerstone investors are expected to subscribe for 19.29 million shares, accounting for 41.37 per cent of the IPO.

The IPO is being managed by finance titans like China International Capital Corp and CCB International Capital, underscoring the high stakes and expectations.

Like most deep-tech companies in their initial stages of product commercialisation, Mirxes has been in the red. For the year ended Dec 31, 2022, it reported a net loss of US$56.64 million. Losses ballooned to US$69.23 million in 2023 and US$92.33 million in 2024.

After the IPO, the founders of Mirxes will hold the following interest in the company: chairman Too Heng Phon, 11.73 per cent; chief executive Zhou Lihan, 6.75 per cent; and chief technology officer Zou Ruiyang, 6.46 per cent.