Zai Lab Limited [NASDAQ: ZLAB] has launched the public offering of ADSs. The firm has determined the price of its underwritten public offering of 4,776,000 American depositary shares (ADSs). Each ADSs signifies one ordinary share of the firm. The firm has set the price of US$150.00 per ADS, and 224,000 ordinary shares, at a price of HK$1164.20 per ordinary share.
The HK$1164.20 per ordinary share will be resolved in Hong Kong dollars, contingent on each ADS signifying one ordinary share and an exchange rate of HK$7.7613 to US$1.00, the spot rate of exchange at the time of pricing. The ADSs and ordinary shares are available in accordance with a shelf registration declaration on Form S-3ASR, which became valid upon filing with the U.S. SEC on April 19, 2021.
Shares of Zai Lab plunged 8.25% at $150.77 during the trading session of Tuesday. ZLAB has lost -13.56 during the trading session of Tuesday. In the past 52-weeks of the trading session, shares of the firm wavered between the 52-week low range of $58.59 and a high range of $193.54. Its share went up 157.33% and went down -22.10% from its 52-weeks low and high, respectively. ZLAB has reported a market capitalization of $13.30 billion at the time of writing.
Proceed from the Public Offering
ZLAB disclosed that it is anticipating obtaining a profit of US$75 million prior to subtracting underwriting discounted rates and fees and other offering expenses. The underwriters are anticipating providing ADSs against payment to the buyers on or about April 23, 2021, on a “T+2” basis. Moreover, the underwriter will deliver the ordinary shares against payment via the resources of the Central Clearing and Settlement System on or about April 28, 2021, on a “T+5” basis.
Furthermore, the firm has also provided an opportunity of 30-day to the underwriter to buy up to an extra 716,400 ADSs at the public offering price, subtracting financing discounted rates and commissions, which buying will be resolved only in ADSs.