Zhong Guo Jing Ji Wang·2025-06-13 10:13Core Viewpoint - Junshi Bioscience announced a placement of new H-shares, leading to a significant drop in stock prices for both A-shares and H-shares [1][2]. Group 1: Share Placement Details - The company will issue 41,000,000 new H-shares at a price of HKD 25.35 per share, which represents approximately 18.70% of the total issued H-shares and 4.16% of the total issued shares as of the announcement date [1][2]. - The total expected proceeds from the placement are approximately HKD 1,039 million, with a net amount of about HKD 1,026 million after deducting commissions and estimated expenses [2]. - The net amount raised per H-share after expenses is expected to be around HKD 25.02 [2]. Group 2: Use of Proceeds - The company plans to allocate 70% of the net proceeds from the placement to innovative drug research and development, including specific projects such as JS207, JS212, and JS213 [2]. - The remaining 30% of the net proceeds will be used for general corporate purposes, including working capital [2]. Group 3: Shareholder Impact and Authorization - The placement will not require shareholder approval as it falls under the general authorization allowing the board to issue up to 197,137,974 shares, which is 20% of the total issued shares as of June 21, 2024 [3]. - It is anticipated that no placement participants will become major shareholders following the transaction [3]. Group 4: Financial Performance - In the first quarter of 2025, the company reported revenue of CNY 5.01 billion, a year-on-year increase of 31.46%, while the net loss attributable to shareholders was CNY 2.35 billion, an improvement from CNY 2.83 billion in the same period last year [8]. - The company has consistently reported net losses over the years, with significant losses recorded from 2016 to 2024 [7].