Exclusive: Axiom CEO on Hong Kong IPO plans, path to public markets

Investing.com -- Axiom Biosciences intends to move ahead with a Hong Kong listing rather than pursue another private venture round because the strong clinical trial performance of its lead asset justifies going public now, CEO Dr. Remo Moomiaie-Qajar told Investing.com in exclusive comments following the announcement on Tuesday.

The San Diego-based clinical-stage biotech revealed earlier this week that it plans to become the first U.S. biotech company to pursue a primary listing on the Main Board of the Stock Exchange of Hong Kong (HKEX), with a secondary U.S. listing to follow.

The IPO is currently expected to take place in 2027, subject to regulatory review.

Moomiaie-Qajar said the decision to list in Hong Kong reflects the company's Asia-focused clinical relationships and its ambition to build a global biotech from the outset.

"We have strategically selected a Hong Kong listing as our initial step, leveraging our established initiatives and partner relationships across Asia," he stated, adding that a U.S. secondary listing is designed to further diversify Axiom's investor base over time.

The CEO added that Axiom is choosing public markets over private capital because it wants to move quickly from success in two rare pediatric indications toward larger adult opportunities.

The company plans to expand its lead program into adult ischemic and hemorrhagic stroke, which requires significant funding on an expedited timeline.

"Entering the public markets now positions us to strategically expand our clinical pipeline and fund the clinical entry of our deep preclinical portfolio," Moomiaie-Qajar commented.

Axiom is said to be targeting $150 million to $200 million in the raise, although Moomiaie-Qajar declined to confirm.

He said capital from the IPO is earmarked to advance the company's lead assets through clinical development and toward a potential Biologics License Application submission, but added that "the target valuation and total proceeds remain speculative at this stage."

The Hong Kong listing decision is also tied to Axiom's collaboration with South Korean partner Medinno Inc., which Moomiaie-Qajar described as the company's sole announced partnership in the region, though he noted that Axiom is actively developing further opportunities across Asia.

Looking ahead, he mentioned that Axiom intends to hit key regulatory milestones and advance its lead assets into the next phases of clinical development ahead of the planned listing.

He believes that a successful Hong Kong debut could serve as "a case study for Hong Kong's ability to attract U.S. companies to list there," potentially opening the door for other American biotechs to rethink traditional financing routes.