Korean dental biotech company HysensBio to go public

[Courtesy of HysensBio]

HysensBio Co., a South Korean dental biotech company engaged in the development and manufacture of treatments for intractable dental diseases, is going public.

According to the investment banking industry, HysensBio recently filed for preliminary examination of an initial public offering (IPO) on the secondary Kosdaq market. The number of shares to be offered is 1.6 million, representing 13.5 percent of 10.34 million shares to be listed. The largest shareholder is Park Joo-cheol, chief executive officer of the company, who owns 30.16 percent of the shares. The lead manager of the IPO is Korea Investment & Securities Co.

HysensBio was founded in 2016 by Park, then a professor at Seoul National University School of Dentistry. The company develops treatments for dental diseases such as dentin hypersensitivity, cavities, and periodontal diseases by researching the original technology of dentin regeneration. At the core of the regeneration technology are peptide derived from copine 7 (CPNE7) that activate dental odontoblasts and regenerates damaged dentin. HysensBio has completed Phase 2a clinical trials for a dentin hypersensitivity treatment utilizing this substance and plans to complete Phase 2b clinical trials by next year. It has already registered patents in 11 countries, including Korea, China, and the U.S. In May this year, the company received a rating higher than A-BBB from two specialized rating agencies.

In particular, the company is attracting strategic investment and establishing a joint venture with Orion Holdings Inc. to target overseas markets. In November last year, HysensBio established a joint venture, Orion Biologics, with Orion Holdings. In May, it also attracted a strategic investment of 2 billion won ($1.56 million) from Orion Holdings. The joint venture will use HysensBio’s technology to expand the business of dentin hypersensitivity toothpastes, whitening toothpastes, and chewing gums for people with dentin hypersensitivity. It is currently developing functional toothpastes for the Chinese and Southeast Asian markets and is also preparing for clinical trials for the Chinese market.

Solidus Investment Co., KB Investment Co., and CAPE Investment & Securities Co. participated in HysensBio’s recent pre-IPO worth 11.3 billion won. Existing investor DS Asset Management Co. also reinvested. The company is known to be valued at more than 100 billion won. Last year, HysensBio posted sales of 6 billion won and an operating loss of 3.5 billion won.