Innovent Biologics Inc. expects to raise as much as $422 million through its Hong Kong IPO, Reuters reported, citing three sources.

The biotechnology company set a price range of HK$12.5 per share to HK$14 per share for the offering, giving it a valuation of about $2 billion, the sources said.

Innovent is slated to finalize the pricing on Oct. 23 and start trading on Oct. 31.

Morgan Stanley, Goldman Sachs, J.P. Morgan and China Merchant Securities are acting as joint sponsors for the IPO.

The Suzhou-based Chinese biotech company applied to list in Hong Kong in June to take advantage of the city's new IPO rules implemented in April. The new rules enabled pre-revenue and pre-profit biotech companies to go public in Hong Kong. Three biotech companies, Ascletis Pharma Inc., Hua Medicine (Shanghai) Ltd. and BeiGene Ltd. have already listed in the city under the new rules.

Innovent said it will use the proceeds to develop and commercialize its pipeline of 17 drug candidates, including blood cancer treatment sintilimab and three biosimilars: IBI-301, IBI-303 and IBI-305. IB1-301 is a biosimilar of Roche Holding AG's blood cancer drugs Mabthera and Rituxan, and IB1-303 is a biosimilar of AbbVie Inc.'s arthritis drug Humira. IBI-305 treats colorectal cancer and is a biosimilar of Roche's Avastin.

Sintilimab is an immune checkpoint inhibitor, a type of cancer therapy that interferes with the interaction between certain proteins on the surface of immune cells and cancer cells. Innovent refiled a new drug application for the treatment with the China regulatory authority in April, after withdrawing in February.