The Alternative Investment Market in London again demonstrated its attractions for overseas companies with the listing of China Medical Holdings. The Chinese pharmaceutical group raised £10 million before expenses, giving it a market capitalisation of £65.2 million.
The company’s portfolio consists of five in-licensed prescription drugs with exclusive distribution rights in China, three in-house manufactured products and a range of medical equipment. In addition China Medical has a treatment for liver cancer that is currently in phase IIb and a lung cancer therapy in phase I. The company intends to use the money to prepare for a rapid expansion of the Chinese market, which is forecast to become the world’s fifth biggest pharmaceuticals market by 2010.
Mr Lam, chairman and chief executive, said the funds raised will enable China Medical to bring in additional products and further develop its R&D programmes. “The company will also pursue potential collaborations with small and medium-size foreign drug companies and R&D institutes.”
Lam added, “AIM is the optimal international market on which to operate and the company is well placed to maximise its opportunities in one of the fastest growing sectors in China.”