Zhen Jiankang Medical launches HK IPO at HKD119.3-HKD135.4 per share

Zhen Jiankang Medical (02697.HK), a developer of surgical robots for percutaneous puncture and ablation procedures, is seeking to raise as much as HKD483 million ($62 million) in its Hong Kong initial public offering, with shares priced between HKD119.3 and HKD135.4 each.

The company plans to offer 3.56 million H shares globally, with about 10% reserved for Hong Kong retail investors and 90% for international institutional investors, according to its prospectus. At the mid-point of HKD127.4 per share, net proceeds are estimated at approximately HKD388 million.

"The proceeds will primarily fund the research and development and commercialization of our core product, the percutaneous puncture surgical robot," the company said in its listing document. CICC and DBS are acting as joint sponsors for the offering.

About 74.5% of the net proceeds will go toward the core percutaneous puncture surgical robot, 9.9% for the microwave ablation surgical robot, 6% for other pipeline products and patent portfolio expansion, 2% for manufacturing capacity, and 7.6% for working capital and general corporate purposes.

The offer period runs from today through Thursday, with trading on the Hong Kong Stock Exchange's Main Board expected to begin on June 30. The minimum investment for retail investors is approximately HKD2,735.3 for a board lot of 20 shares.

The listing gives Zhen Jiankang Medical an enterprise value of roughly HKD1.8 billion at the mid-point price, positioning it among a small cohort of publicly traded surgical robotics companies in Hong Kong. First-day trading on June 30 will test institutional demand for the niche medical-device sector.

This article is for informational purposes only and does not constitute investment advice.