Shares of BeiGene Ltd. (NASDAQ: BGNE) saw a handy gain on Thursday after the company announced that it would be conducting a secondary offering. Usually, companies conducting these offerings see their shares drop to account for the dilution, but in this case investors are cheering the offering, sending shares even higher.

In cases like this where investors appear to be happy with a secondary offering, they’re generally expecting the company to use the funds from the offering to better itself and the share price in the longer run.

The company is offering of 7.43 million American depositary shares (ADSs), each representing 13 of its ordinary shares, at a price to the public of $101.00 per ADS. Also, BeiGene has granted an overallotment option for an additional 495,050 ADSs.

The company expects the gross proceeds from this offering to total roughly $750 million. Keep in mind that BeiGene has a market cap of less than $5 billion, so this offering would constitute about 15% of the total cap.

The offering is expected to close on January 22 and is subject to customary closing conditions.

Goldman Sachs, Morgan Stanley, Cowen and Leerink Partners are acting as joint book-running managers, and William Blair is acting as the co-manager.

BeiGene is a global, commercial-stage, research-based biotechnology company focused on molecularly targeted and immuno-oncology cancer therapeutics. The company markets Abraxane (nanoparticle albumin–bound paclitaxel), Revlimid (lenalidomide) and Vidaza (azacitidine) in China under a license from Celgene.

BeiGene intends to use proceeds from the offering for working capital and general corporate purposes, including research and development activities.

Shares of BeiGene traded up about 15% at $118.00 on Thursday, with a consensus analyst price target of $99.60 and a 52-week range of $31.74 to $118.95.

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