Hong Kong Betting Big on Biotech IPOs

Hong Kong has become one of the preferred destinations for biotech IPOs, attracting both mainland Chinese and international firms.

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Since the introduction of Chapter 18A in 2018, which opened public capital markets to pre-revenue biotech companies, the city has accelerated growth in its capital markets and supported sector-wide innovation. In May 2025, regulators had also launched the Technology Enterprises Channel (TECH), a new platform for biotech listings that provides greater flexibility for issuers. In this story, we explore the current landscape of biotech IPOs and how the city can sustain its role as a global hub for innovation and capital.

Since the introduction of Chapter 18A in 2018, Hong Kong has become an important fundraising hub for biotechnology, giving pre-revenue companies access to public markets for the first time. The reform helped the Hong Kong Stock Exchange (HKEX) compete with Nasdaq and Shanghai by opening the door to high-growth biopharma companies that would otherwise have struggled to meet traditional profitability requirements. These efforts appear to have paid off. Hong Kong is now the second-largest IPO market after the United States for biotech companies.

"Chapter 18A positioned Hong Kong as Asia's premier venue for pre-revenue biotech listings, a space that had previously been largely limited to U.S. exchanges. This gave the city a clear first-mover advantage, drawing a steady pipeline of Chinese biotechs and positioning it as a capital-raising alternative for global investors," said Kimberly Ha is the Founder and CEO of KKH Advisors.