Cloopen Group Holding made its public debut Tuesday.
NYSE
A trio of companies— Adagene, Cloopen Group Holding, and Global Internet of People —made their U.S. public equity markets debut on Tuesday. All posted positive first days, with Cloopen rocketing 200%.
All three of the companies are from China, continuing the trend of foreign businesses listing in the U.S.
Cloopen stock (ticker: RAAS) opened at $27 and soared 269% to a high of $59. It closed Tuesday at $48, up 200%.
The strong performance came after Cloopen collected $320 million from selling 20 million American depositary shares, or ADSs, at $16 each, above its $13 to $15 price range. Each ADS represents two class A ordinary shares.
Goldman Sachs (Asia), Citigroup Global Markets, and China International Capital Corp Hong Kong are underwriters on the deal.
Cloopen provides cloud-based communication services to more than 12,000 customers, of which 173 are large enterprises. It has roughly 1,170 employees. The Beijing company isn’t profitable. Losses widened to 203.7 million Chinese yuan ($30 million) for the nine months ended Sept. 30, up from losses of CNY129.6 million ($20.1 million) for the same period in 2019, a prospectus said. Revenue rose 19% to about CNY509 million ($75 million) for the nine months ended Sept. 30.
Adagene (ADAG) opened at $20. 40 and peaked at $31. The stock ended Tuesday at $29.99, up nearly 58%.
On Tuesday, Adagene collected $140 million after selling 7.35 million shares at $19 each, the top of its $17 to $19 price range. Each ADS represents 1¼ ordinary Adagene shares.
Goldman Sachs (Asia), Morgan Stanley, and Jefferies are underwriters on the deal.
Adagene, which is from Suzhou, in the Jiangsu province of China, is developing antibody-based immunotherapies to treat cancer. One of its primary product candidates, ADG106, is currently in Phase Ib clinical trials in the U.S. and China. Like most biotechs, Adagene isn’t profitable. It reported net losses of $29.6 million for the nine months ended Sept. 30, up from $11.8 million in losses for the same time in 2019, a prospectus said. It produced $310 million in licensing revenue for the Sept. 30 period. It had 198 full-time employees.
Lastly, Global Internet of People (SDH) began trading Tuesday, with shares soaring nearly 150% to a high $9.98. It closed at $5.32, up 33%
Global Internet also increased the size of its IPO but priced at the bottom of its $4 to $5 price range. The Beijing company raised nearly $27 million after selling 6.72 million shares at $4.
ViewTrade Securities is the underwriter on the deal.
Global Internet of People provides an online peer-to-peer knowledge sharing and enterprise service platform in China. Its app had about 5.49 million users as of September 2020.
Global Internet is profitable, reporting $2.2 million in income for the six months ended June 30. This is nearly flat compared with the $2.1 million in profit Global Internet posted for the same period in 2019, a prospectus said. Revenue rose 12% to $6.5 million for the June 30 period. It has 105 employees.
Write to Luisa Beltran at [email protected]
