New stock news | De Magnesium Medicine submits application to Hong Kong Stock Exchange. Revenue from skin prescription drugs ranks first among innovative drug companies in China.

According to the disclosure on October 30th by the Hong Kong Stock Exchange, DeMei Pharmaceutical Co., Ltd. (referred to as DeMei Pharmaceuticals) has submitted an application for listing on the Main Board of the Hong Kong Stock Exchange, with Huatai International as its exclusive sponsor. According to the Insight Consulting Report, by 2024, the income generated by DeMei Pharmaceuticals' skin prescription drugs ranks first among Chinese pharmaceutical companies focusing on innovative products and fifth among all Chinese pharmaceutical companies. It is reported that in 2021, DeMei Pharmaceuticals was spun off and operated independently from the CMS Group. The spin-off listing this time does not involve new stock issuance or financing. The listing will be conducted through an introduction method and the distribution of shares by CMS, allowing eligible CMS shareholders to receive relevant shares. The listing does not involve the offering for sale or subscription of company shares or any other securities, nor will it raise any funds. After the spin-off, the retained CMS Group will operate in the fields of cardiovascular/digestive internal medicine, ophthalmology, and also in the dermatology field outside China. The prospectus shows that DeMei Pharmaceuticals is a leading Chinese pharmaceutical company specializing in innovative skin health products. It integrates research, production, and sales around prescription dermatological drugs and dermatological-grade skincare products, aiming to provide comprehensive solutions for skin health from prevention, treatment to long-term care. DeMei Pharmaceuticals has established a rich and differentiated product portfolio covering major skin diseases areas with significant unmet clinical needs. According to the Insight Consulting Report, as of June 30, 2025, the coverage of seven skin disease indications ranks first among all Chinese pharmaceutical companies focusing on innovative products, and third among all Chinese pharmaceutical companies. The company's main products include skin prescription drugs and dermatological-grade skincare products, mainly composed of active ingredients supported by medical evidence. In the field of skin prescription drugs, the company's main product pipeline includes three marketed products, four candidate products in clinical or late-stage development, and approximately five pre-clinical candidate products, covering major skin diseases such as psoriasis, vitiligo, atopic dermatitis (AD), and skin abrasions. In the field of dermatological-grade skincare products, the company's representative products include the Hedrelief series and the Xiluotuo-Linolenic Acid series, mainly targeting consumers with atopic dermatitis and acne vulgaris. DeMei Pharmaceuticals has demonstrated leading commercialization capabilities with a proven track record in the skin health field. With strategic deepening and lean operations in the skin health field, DeMei Pharmaceuticals has built a strong specialized sales and academic promotion team. As of June 30, 2025, the company has a self-built commercial team of approximately 650 professionals. According to the Insight Consulting Report, the company's commercial team ranks at the forefront of the Chinese dermatological pharmaceutical industry; DeMei Pharmaceuticals has also established an extensive sales network covering major in-hospital and outpatient channels. During the performance period, the company's sales network covered over 12,000 hospitals nationwide, over 150,000 offline retail pharmacies, and various mainstream e-commerce platforms. The company has substantial sales revenue from outpatient channels. According to the Insight Consulting Report, DeMei Pharmaceuticals also leads in the coverage of dermatology departments in Chinese hospitals. Financially, in the years 2022, 2023, 2024, and the six months ended June 30, 2025, the company achieved revenues of 384 million yuan, 473 million yuan, 618 million yuan, and 498 million yuan, respectively; with net losses of 55.17 million yuan, 4.703 million yuan, 106 million yuan, and 31.08 million yuan during the periods. The company recorded net losses during the performance period mainly due to higher sales expenses for promoting new acquisitions or listed products and higher research and development expenses for enriching the product pipeline (such as CMS-D001). At the same time, some of the company's already listed products had limited revenue contributions during the historical period.