Changes in Hong Kong stocks | Sansheng Pharmaceutical (01530) is now down nearly 5%. The company's recent net allotment of shares raised more than HK$3 billion and plans to split Mandy International's listing

The Zhitong Finance App learned that Sansheng Pharmaceutical (01530) is now down nearly 5%. As of press release, it is down 4.93% to HK$27.76, with a turnover of HK$704 million.

According to the news, Sansheng Pharmaceutical announced at the beginning of this month that it plans to place 105 million shares at a price of HK$29.62 per share, with a net raise of about HK$3,087 billion. The shares in this placement account for approximately 4.14% of the issued share capital after the sale. The placement price is 6.50% off the closing price of the previous day. 80% of the capital from this placement will be used for R&D related expenses, and the remaining 20% will be used as working capital.

Notably, in November of this year, Sansheng Pharmaceutical announced the split and listing of its hair loss treatment company Mandy International. According to the BOC International Research Report, the spin-off of Mandy is expected to bring short-term investment returns to Sansheng Pharmaceutical. In the long run, the spin-off of the consumer medicine business will help the company focus on the main business of prescription drugs and innovative drugs. The return of funds will support the commercialization of self-developed innovative products after they go overseas and the centralized marketing of new products.