Adagene (ADAG) Registration Filing summary

Company overview and business model

• Platform-driven, clinical-stage biotech focused on novel antibody-based cancer immunotherapies leveraging proprietary Dynamic Precision Library (DPL) technology, including NEObody, SAFEbody, and POWERbody platforms for differentiated immunotherapy candidates.

• Lead candidate ADG126 (anti-CTLA-4 SAFEbody) is in phase 1b/2 trials for metastatic MSS colorectal cancer, with additional preclinical and clinical assets in the pipeline.

• Operations are conducted through subsidiaries in the U.S. and China, with a holding company structure based in the Cayman Islands.

• Strategic collaborations with global partners (e.g., Sanofi, Exelixis, Roche, Merck) provide licensing and clinical development opportunities.

Financial performance and metrics

• As of December 31, 2024, cash and cash equivalents were $85.2 million; pro forma for a $100 million offering, cash would be $182.0 million.

• Net tangible book value per ordinary share was $0.85, increasing to $1.07 post-offering, with immediate dilution of $0.21 per share to new investors at an assumed $1.28 per share price.

• The company has incurred net losses historically and expects to continue incurring losses in the near future.

Use of proceeds and capital allocation

• Net proceeds from the offering will primarily fund research and development for clinical and preclinical programs, working capital, and general corporate purposes.

• Management has broad discretion over the use of proceeds, which may also include capital expenditures, acquisitions, investments in subsidiaries, and debt repayment.