Jingtian Technology's cash capital increase was approved, raising 192 million yuan to invest in new drug research and development

Xingke Jingsheng Technology (6917) said today (18th) that this year's cash capital increase and issuance of new shares has been officially declared and effective by the competent authority. This time, 6,000 new shares are expected to be issued at an issue price of 32 yuan per share, which will raise 192 million yuan; the proceeds will be mainly used to invest in the mid-to-late clinical trials of the main new drug APC201 and to enrich working capital.

Jingtian said that APC201 is a 505(b)(2) new topical foam drug developed for local pain caused by knee osteoarthritis. Using the exclusive "double-effect lipid patented formula", it successfully overcomes the limitation of traditional competitive products with the same ingredients (such as 2% Pennsaid solution dosage form) that rely on the irritating solvent DMSO, and significantly increases the drug concentration to 4% (twice that of competing products). This foam dosage form and technological breakthrough not only significantly enhance the anti-inflammatory and analgesic effect, but also significantly reduce the risk of adverse reactions such as skin redness and swelling.

After APC201 has completed the Phase I/IIa clinical trials in Australia and verified its safety and preliminary efficacy, Jingtian is comprehensively planning global multi-center Phase IIb/III clinical trials and international licensing cooperation; the additional funds raised this time will be directly invested in the Phase IIb clinical trials of APC201 to accelerate the product development process and realize commercialization as soon as possible, and then seize the global arthritis external analgesic market with an annual market size of more than 1.5 billion US dollars.

Another major new drug of Jingtian, APC101 (indication for systemic post-herpetic neuralgia), has been approved by the Australian and US regulatory authorities to enter Phase IIb/III clinical trials, and the current progress is in line with expectations.

Looking forward to the future, Jingtian Chairman Wang Aijun said that Jingtian’s main new drugs have entered the research and development harvest period, and coupled with the performance of cooperation projects, the company is cautiously optimistic about the overall operations in the second half of the year and next year.