Boan Biotech Receives Further Investments with the Total Amount Reaching RMB 877 Million

Luye Pharma Group announced that its subsidiary, Shandong Boan Biotechnology Co. Ltd. (Boan Biotech), has received a further RMB 195 million in investments from investors including CCB International and Starr Companies. Boan Biotech has received approximately RMB 877 million this month from a number of investors, bringing its post-money valuation following this round of financing to RMB 5.6 billion, and demonstrating their belief in the company's research & innovation strength and their confidence in its future potential.

The capital raised will help Boan Biotech accelerate the clinical development of its innovative antibody and biosimilar products, enhancing competitive strengths and facilitating rapid, stable growth. The arrival of strategic investors will boost Boan Biotech’s drive to become an industry leader, and  a “leading biopharmaceutical innovator in China with a global footprint”.

Boan Biotech was founded in 2013 as a fully integrated biopharmaceutical company. Boan Biotech’s antibody discovery work is based on four technology platforms: Human Antibody Transgenic Mouse and Phage Display Technology, Bispecific T-cell Engager Technology, ADC Technology, and Nanobody Platform. Boan Biotech has expertise in the full industry chain: antibody generation, lead optimization, cell line development, upstream and downstream process development, analytical development, technology transfer, pilot production, and commercial manufacturing. The company is also working on cutting-edge technologies including the cell therapy.

The Boan Biotech pipeline now has more than 10 innovative antibodies with international intellectual property protection and 8 biosimilar products. All subjects have been enrolled for the Phase-I clinical trial in China for LY-CovMab, an innovative antibody product developed by Boan Biotech. Boan Biotech is one of the first innovative biopharmaceutical companies in China to develop a neutralizing antibody against SARS-CoV-2.

Among the company’s eight biosimilar products, a Biologic License Application has been submitted for LY01008 (biosimilar to Avastin®) in China. LY06006 (biosimilar to Prolia®) is undergoing comparative clinical studies (phase III clinical trials) in China and phase I clinical trials in Europe and the United States. Meanwhile, LY09004 (biosimilar to Eylea®) is also in comparative clinical studies (phase III clinical trials) in China.

Jiang Hua, CEO of Boan Biotech, said, “Boan Biotech’s ability to exceed the financing target so quickly shows the capital market's high recognition in our value and great confidence in our future. With increased capital, we will be able to accelerate our global biopharmaceutical development, as well as the development and launch of pipeline products, and bring high-quality, innovative therapies to patients in China and around the world sooner. And this in turn will bring better returns to our investors.” 

In recent years, following a series of medical system reforms, China’s healthcare market has become a key target for investors, and the biopharmaceutical industry is receiving even more attention. In 2020 alone China’s biopharmaceutical industry received US$ 3.4 billion in 80 investment deals. As one of the key businesses for Luye Pharma Group, Boan Biotech is taking advantage of the group’s wealth of resources in relevant disease areas and international footprint. The company has clear strengths in terms of supply chain, technology, portfolio, manufacturing, and market, and is therefore a prime target for investment capital.

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About Investors:

CCB International

CCB International (Holdings) Limited and its subsidiaries (CCB International), is a financial and investment service company owned by China Construction Bank Corporation (CCB). The subsidiaries of CCB International operate across the entire value chain of investment banking, with numerous products spanning: pre-IPO, IPO and post-IPO.  The corporate finance and capital market services of CCB International have raised over HK$4 trillion from the global equity market for hundreds of companies. The direct investment business of CCB International has nurtured a number of industry-leading companies such as Oxford Nanopore Technologies Limited, WeDoctor, Novogene, Beijing Biostar Technologies, Ltd, Hinova Pharmaceuticals Inc., and Chineo Medical, creating a win-win situation for its clients.

Starr Companies

Starr Companies, a global insurance and investment firm, is founded by Mr. Cornelius Vander Starr in Shanghai in 1919. Mr. C.V. Starr also founded The Starr Foundation in 1955, which later became one of the largest private charity foundations in the U.S. and Europe. The Starr Foundation was the single largest shareholder of AIG before 2008. Starting from 1980s, the foundation began to donate in China for more than US$300 million. Starr Companies dedicated to expand its investment business from 1980s including private equity investment, equity and debt capital market investment. Its investment arm established offices in New York, Shanghai, Hong Kong and Moscow. From 2007, Starr Companies has invested more than US$1.5 billion in China in fields other than insurance, out of which Starr invested over US$500 million into healthcare industry.