Biotech firm Mirxes to be added to Hang Seng Composite Index

Rare win for Singapore start-up comes three months after its Hong Kong IPO

- Timothy Goh

Local firm Mirxes will be added to Hong Kong's Hang Seng Composite Index (HSCI) on Sept 8, a move expected to boost its visibility and trading liquidity, and marking a rare win for a Singapore biotech company on the global stage.

The index, which includes Chinese heavyweights such as e-commerce giant Alibaba and electric vehicle maker BYD, covers about 95 per cent of the total market value of companies listed on the Hong Kong mainboard.

It differs from the blue chip Hang Seng Index, which includes the largest and most actively traded stocks in Hong Kong, with 85 constituents at present.

Mirxes' inclusion on the HSCI is nevertheless expected to make its shares more attractive to a broader base of investors, including institutional funds and index-tracking exchange-traded funds.

The company's shares will also be eligible for the Shanghai-Hong Kong and Shenzhen-Hong Kong Stock Connect schemes, which will give investors in mainland China access to the Hong Kong-listed stock.

"This opens up the company's stock to a vast pool of investors in mainland China, providing access to a crucial new source of capital to support its long-term growth and innovation pipeline," Mirxes said.

The firm joins the HSCI just over three months after its May 15 debut on the Hong Kong Stock Exchange.

"This inclusion validates our strategic choice to list in Hong Kong and reinforces our commitment to expanding our global investor footprint," Mirxes co-founder and chief executive Zhou Lihan said.