Active pharmaceutical ingredient (API) manufacturer ScinoPharm has gone public in a bid to raise funds for its upcoming expansions.
The contract manufacturing organisation (CMO) – which makes 65 per cent of all APIs exported from Taiwan, where it is based – began trading on the Taiwan stock exchange last week.
Now with the upcoming ribbon cutting for its new plant in Jiangsu, China, the company hope public trading will fetch the capital needed to support its growing reach.
The new factory will include a full scale R&D center, as well as capabilities for large scale production of key intermediates and two medium GMP API lines.
ScinoPharm president, CEO and co-founder Jo Shen said: “We would like to raise fund from the market for future expansion.
“ScinoPharm Taiwan, recently expanded its facility in Taiwan including adding a peptide plant. In addition, two large production lines are currently under construction.
“Meanwhile the first phase of a brand new world-class facility in Changshu, Jiangsu, China will be completed in the fourth quarter of 2011.”
Shen also said that some of the cash injection would be used towards developing new strategic alliances as well as implementing vertical integration plans.
She added: “Going for an IPO will increase our brand awareness and credibility, leveraging future sales or business to create extra value for the company.”
A piece of the pie
With founding shareholders taking up more than 80 per cent of ScinoPharm shares – Uni-President with 50 per cent, the National Development Fund with 18 per cent, and the Taiwan Sugar Corporation who hold 18 per cent – the business is on the lookout for investors to take the rest of the stock.
Of future prospects, Wu added: “We are looking for a long term, stable institutional and strategic investors.”