HK Stock Market Move | AOC Hospital (02581) fell more than 8%, hitting a new low since listing with a decrease of over 55% from the IPO price.

Mingji Hospital (02581) fell more than 8%, hitting a record low of 4.12 Hong Kong dollars, a drop of over 55% from the IPO price of 9.34 Hong Kong dollars. The stock officially listed on the Hong Kong Stock Exchange on December 22nd, with the stock price nearly halving on the first day of trading, marking the worst performance of a new Hong Kong stock listing in the year. As of the time of writing, it has fallen 8.17%, to 4.16 Hong Kong dollars, with a turnover of 5.2648 million Hong Kong dollars. Public information shows that Mingji Hospital is a privately owned for-profit comprehensive hospital group in mainland China, with two privately owned for-profit comprehensive hospitals under its ownership and operation (Nanjing Mingji Hospital and Suzhou Mingji Hospital). In terms of finances, the company achieved revenues of 2.34 billion yuan, 2.69 billion yuan, 2.66 billion yuan, and 1.31 billion yuan in 2022, 2023, 2024, and up to June 30, 2025, respectively; with corresponding net profits of 89.55 million yuan, 170 million yuan, 110 million yuan, and 48.7 million yuan. It is worth noting that the response to the IPO of Mingji Hospital was tepid, with the Hong Kong public offering portion only being subscribed 6.28 times, and the international placement only 1.28 times, far below recent hot new stocks. Some analysts believe that the stock's PE valuation median during the IPO stage was as high as 29.8 times, significantly higher than the average P/E ratio of 16.7 times for private hospitals in the Hong Kong stock market, indicating that the high pricing was a direct cause of its significant drop.