New Stock News | Guangdong Hec Technology Holding submits listing application to the Hong Kong Stock Exchange. The company focuses on the treatment of infectious diseases, chronic diseases, and tumors.

According to the disclosure on June 11 by the Hong Kong Stock Exchange, Guangdong Hec Technology Holding Pharmaceutical Co., Ltd. (referred to as Guangdong Hec Technology Holding Medicine) submitted an application for listing on the main board of the Hong Kong Stock Exchange, with CICC as its exclusive sponsor. The prospectus shows that Guangdong Hec Technology Holding Medicine is a comprehensive pharmaceutical company engaged in the research, development, production, and commercialization of drugs. The company strategically focuses on the treatment areas of infection, chronic diseases, and tumors. As of the years ended December 31, 2022, 2023, and 2024, the sales revenue of anti-infection drugs of Guangdong Hec Technology Holding Medicine was RMB 3.2425 billion, RMB 5.7458 billion, and RMB 2.7976 billion, accounting for 85.0%, 90.0%, and 69.6% of total revenue for the respective periods. Additionally, sales revenue from drugs for chronic diseases were RMB 0.5173 billion, RMB 0.5807 billion, and RMB 1.0677 billion, accounting for 13.6%, 9.1%, and 26.6% of total revenue for the respective periods. During the reporting period, Guangdong Hec Technology Holding Medicine produced drugs in China and mainly sold drugs in China. As of the latest practicable date (June 4, 2025), the company sold 48 drugs in China and 23 drugs in overseas markets. In 2022, 2023, and 2024, revenues from China were RMB 3.7532 billion, RMB 6.3359 billion, and RMB 3.8805 billion, accounting for 98.4%, 99.2%, and 96.6% of total revenue, respectively. During the reporting period, Guangdong Hec Technology Holding Medicine also collaborated on research and development projects with overseas partners. In 2022, 2023, and 2024, revenues from overseas drug sales and license fees from overseas R&D collaboration projects were RMB 0.604 billion, RMB 0.497 billion, and RMB 1.384 billion, accounting for 1.6%, 0.8%, and 3.4% of total revenue, respectively. The existing product portfolio is driven by independent research and development, and Guangdong Hec Technology Holding Medicine has developed a diversified and strong product portfolio. As of the latest practicable date, the company has 150 approved drugs in different countries and regions, including China, the United States, and Europe. The existing anti-infection product portfolio of Guangdong Hec Technology Holding Medicine mainly includes (i) the best-selling product Kovir (Oseltamivir phosphate) for the treatment of influenza (especially influenza A and B viruses); (ii) an independently developed innovative drug Dongwene (Etimivir phosphate) for the treatment of hepatitis C; and (iii) three generic drugs mainly used to treat infections caused by susceptible bacteria, namely Clarithromycin, Levofloxacin, and Moxifloxacin hydrochloride. The company's commercialized drugs for chronic disease treatment mainly focus on diabetes, hyperuricemia, hypertension, and stomach-related diseases, including five insulin products and four major generic drugs. In terms of finances, in the fiscal years 2022, 2023, and 2024, Guangdong Hec Technology Holding Medicine achieved revenues of approximately RMB 3.814 billion, RMB 6.386 billion, and RMB 4.019 billion, with gross profits of approximately RMB 2.922 billion, RMB 5.077 billion, and RMB 3.059 billion, respectively. It is worth noting that on June 9, HEC CJ PHARM (01558) announced that its parent company Guangdong Hec Technology Holding Medicine would be absorbed and merged into the company through a share exchange, and the latest information for listing on the Main Board of the Stock Exchange was introduced. As of now, conditions 1 and 3 have been met, while only condition 2 (i.e. obtaining approval or filing with the Listing Committee of the Stock Exchange, the International Cooperation Department of the China Securities Regulatory Commission, and other necessary regulatory authorities, and obtaining approval for the offeror H shares for trading on the Stock Exchange) has not yet been fully met.