(RTTNews) - Insilico Medicine (3696.HK) has listed on the Hong Kong Stock Exchange, marking the latest biotech IPO in Hong Kong this year and becoming the first AI-driven biotech to go public on the HKEX Main Board under Chapter 8.05.
The company raised HKD 2.277 billion through its initial public offering, which was massively oversubscribed across both the Hong Kong public tranche and the international offering. The public portion was oversubscribed by 1,427 times, locking in more than HKD 328 billion in subscription funds, while the international tranche was oversubscribed by 26.27 times.
Insilico's listing attracted 15 cornerstone investors, including global pharmaceutical leaders, sovereign funds, asset managers, and well-known names like Lilly, Tencent, Temasek, Schroders, UBS AM, Oaktree, E Fund and Taikang Life Insurance, among others.
The company's leadership highlighted that the IPO validates Insilico's position at the forefront of AI-powered drug discovery. Over the past several years, Insilico has demonstrated that AI can accelerate drug development from target discovery to clinical stages, reducing early R&D timelines from the traditional 4.5 years to 12-18 months across more than 20 internal programs.
Insilico's AI-designed idiopathic pulmonary fibrosis candidate, Rentosertib (ISM001 055), is considered the most advanced first-in-class AI-discovered drug in development. The program moved from target discovery to preclinical candidate nomination in 18 months, with only 78 molecules synthesized¬- a milestone published in Nature Biotechnology in 2024.
The company reported positive results from its Phase IIa trial of Rentosertib in China, showing favourable safety and emerging dose-dependent efficacy, last year.
Insilico's broader pipeline includes more than 30 programs across fibrosis, oncology, immunology, inflammation, cardiometabolic disease, and CNS disorders. Ten programs have received IND clearance, and seven are in active clinical development. The company has also secured three out-licensing deals with a combined potential value of up to $2.1 billion.
Insilico continues to expand its automated laboratory capabilities through its Life Star 1 and Life Star 2 facilities, which integrate robotics with its AI platform to enable fully automated experimental validation and data generation. The company has also introduced the concept of Pharmaceutical Superintelligence, aiming for a fully autonomous AI-driven drug discovery and development ecosystem.
Insilico plans to use the IPO proceeds to advance clinical programs, expand early-stage discovery, develop new AI models, and scale its automated laboratory infrastructure.
3696.HK has traded between a low of HKD 29.98 and a high of HKD 35.70. The stock closed yesterday at HKD 29.98, up 24.66%.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
