Goldman-backed ClinChoice considers Hong Kong IPO

CLINCHOICE, a clinical trial services provider backed by Goldman Sachs Group, is considering a Hong Kong initial public (IPO) offering as soon as next year, according to people familiar with the matter.

The company is working with China International Capital (CICC) and Morgan Stanley on preparations for the potential listing, the people said, asking not to be identified because the matter is private. A first-time share sale could raise a few hundred million dollars, valuing the business at about US$1 billion, one of the people said.

Considerations are preliminary and details of the offering including size and timeline could still change, the people said. Representatives for CICC and Morgan Stanley declined to comment, while a representative for ClinChoice didn’t respond to requests for comment.

Founded in 2007, ClinChoice provides clinical-stage research services to pharmaceutical, biotechnology, medical device and consumer health companies globally. Last year it raised US$150 million in a series E round led by Legend Capital. Taikang Life Insurance and Sherpa Healthcare Partners also co-invested, alongside existing shareholders Lilly Asia Ventures and Apricot Capital.

ClinChoice has recently grown via acquisitions, including Verona, Italy-based Cromsource, to help boost its network and services in Europe and the US. The company didn’t disclose financial details for the purchase in a press release in March. BLOOMBERG