Adagene (ADAG) Registration Filing summary

Company overview and business model

• Platform-driven, clinical-stage biotech focused on novel antibody-based cancer immunotherapies leveraging computational biology and proprietary Dynamic Precision Library (DPL) platform, including NEObody, SAFEbody, and POWERbody technologies.

• Lead candidate ADG126 (anti-CTLA-4 SAFEbody) is in phase 1b/2 for metastatic MSS colorectal cancer; robust pipeline includes Fc-empowered antibodies and bi/multispecific T-cell engagers.

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

• Strategic collaborations with global partners (e.g., Sanofi, Exelixis, Roche, Merck) leverage technology platforms and provide licensing and development revenue streams.

Financial performance and metrics

• Historical net losses with expectation of continued losses in the near term; limited operating history makes future performance difficult to predict.

• As of December 31, 2024, cash and cash equivalents were $85.2 million; pro forma for the full $100 million offering, cash would increase to $182.0 million.

• Net tangible book value per ordinary share as of December 31, 2024 was $0.85; would increase to $1.08 per share after the offering, with immediate dilution of $0.22 per share to new investors.

Use of proceeds and capital allocation

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

• Management has broad discretion over use of funds; proceeds may also be used for capital expenditures, acquisitions, investments in subsidiaries, and debt repayment.