New Stock News | Zhejiang Jingxin Pharmaceutical(002020.SZ) submits application to Hong Kong Stock Exchange, focusing on diseases of the central nervous system, cardiovascular, and cerebrovascular system.

According to the disclosure by the Hong Kong Stock Exchange on February 11th, Zhejiang Jingxin Pharmaceutical Co., Ltd. (referred to as Zhejiang Jingxin Pharmaceutical) has submitted an application for listing on the main board of the Hong Kong Stock Exchange, with CITIC SEC as its exclusive sponsor. Company Overview The prospectus shows that Zhejiang Jingxin Pharmaceutical (002020.SZ) is a pharmaceutical group with innovation as its driving force, with a strategic focus on two core disease areas: central nervous system diseases; and cardiovascular and cerebrovascular diseases. The company adheres to a business model that combines the commercialization of existing products with the continued development of its product pipeline. In recent years, the company has focused its strategic innovation on central nervous system diseases and cardiovascular and cerebrovascular diseases. The current product portfolio includes drugs (including generics, innovative drugs, traditional Chinese medicine, and biologics); active pharmaceutical ingredients; and medical devices. During the reporting period, the company generated revenue from the sales of over 60 approved drugs, including generics, innovative drugs, traditional Chinese medicine, and biologics. Generics: Generics are an important part of the company's listed product portfolio, providing stable revenue contributions and broad market coverage to support ongoing investments in innovation. The company's generics portfolio mainly focuses on psychiatric and neurological drugs; and cardiovascular and cerebrovascular drugs, as well as products in other therapeutic areas. Innovative Drugs: Innovative drugs are at the core of the company's transformation and long-term growth. The company's innovative research and development focus on two core areas: central nervous system diseases and cardiovascular and cerebrovascular diseases, prioritizing indications with significant unmet medical needs, clinical value, and commercial potential. In 2023, the company successfully launched an innovative drug called Datasi Nini, which was approved in China for the treatment of insomnia. This insomnia treatment drug marks an important milestone in the company's transformation into an innovative-driven model. The company's main source of revenue comes from domestic sales, with revenue details and percentages of total revenue by business line as follows: Financial Information Revenue For the fiscal years 2023, 2024, and the ten months ending October 31, 2025, the company achieved revenues of approximately RMB 3.99 billion, RMB 4.159 billion, and RMB 3.344 billion respectively. Profit For the fiscal years 2023, 2024, and the ten months ending October 31, 2025, the company recorded profits of approximately RMB 623 million, RMB 719 million, and RMB 629 million respectively. Gross Profit Margin For the fiscal years 2023, 2024, and the ten months ending October 31, 2025, the company's gross profit margins were 49.2%, 48.5%, and 48.3% respectively. Industry Overview The Chinese pharmaceutical market is expected to grow from RMB 1.4479 trillion in 2020 to RMB 1.6297 trillion in 2024, with a compound annual growth rate of 3.0% from 2020 to 2024, and further increasing to RMB 3.1034 trillion by 2035, with a compound annual growth rate of 6.5% from 2025 to 2035, higher than the projected global compound annual growth rate of 5.1%. The market share of patented drugs is expected to increase from 44.6% in 2020 (RMB 645.7 billion) to 70.0% by 2035 (RMB 2.1721 trillion). In contrast, although the market size of generics is expected to grow moderately to RMB 931.3 billion by 2035, its market share will rapidly decline from 55.4% in 2020 to 30.0% by 2035. The central nervous system includes a wide range of diseases, including neurological diseases such as epilepsy, Parkinson's disease, and Alzheimer's disease; mental illnesses such as depression and schizophrenia; and sleep disorders (such as insomnia). The global central nervous system drug market is large and entering a period of stable growth, with China becoming one of the fastest-growing regions. From 2020 to 2024, the global central nervous system drug market increased from $233.7 billion to $258.8 billion, with a compound annual growth rate of 2.6% during that period. The size of the Chinese central nervous system drug market increased from approximately $32.2 billion in 2020 to $34.1 billion in 2024, with a compound annual growth rate of 1.4%. It is expected to expand at an accelerated compound annual growth rate of 4.1% from 2025 to 2035, reaching approximately $51 billion by 2035. Insomnia Drug Market From 2020 to 2024, the Chinese insomnia drug market remained at around $1.7 billion, with a compound annual growth rate of -1.0%. The Chinese insomnia drug market is expected to continue to grow from 2024 to 2035, estimated to reach $3.5 billion by 2035, with a compound annual growth rate of 7.5% from 2025 to 2035. Global and Chinese Cardiovascular Drug Market From 2020 to 2024, the global cardiovascular drug market increased from $115 billion to $124.6 billion, with a compound annual growth rate of 2.0%, and is expected to reach $182 billion by 2035, with a compound annual growth rate of 3.8% from 2025 to 2035. During the same period, the size of the Chinese cardiovascular drug market decreased from $25.5 billion in 2020 to $24.9 billion in 2024, with a compound annual growth rate of -0.7%, but is expected to rebound to $36.9 billion by 2035, with a compound annual growth rate of 4.1% from 2025 to 2035. This trend shows that although the Chinese cardiovascular drug market contracted from 2020 to 2024, it is expected to resume growth from 2025 to 2035 and surpass the global expansion rate. Board of Directors Information The company's board of directors consists of 10 members, including 6 executive directors and 4 independent non-executive directors. Ownership Structure As of February 2, 2026, the company is controlled by a group of shareholders led by Mr. Lu Gang, the executive director, chairman of the board, and general manager of the company. Mr. Lu Gang, Ms. Zhang Liling, Jingxin Holdings, and Jinzhi Investment are considered controlling shareholders, controlling approximately 36.44% of the total issued share capital. Specifically, Mr. Lu Gang and Jingxin Holdings directly hold approximately 20.77% and 15.68% equity, respectively. Jingxin Holdings is 51.00% owned by Mr. Lu Gang and 49.00% owned by Jinzhi Investment. Jinzhi Investment is 60.00% owned by Mr. Lu Gang and 40.00% owned by his spouse, Ms. Zhang Liling. Intermediary Team Sole Sponsor: CITIC SEC (Hong Kong) Ltd. Company Legal Advisor: Wilson Sonsini Goodrich & Rosati for Hong Kong and U.S. law; JinTianCheng Law Firm for Chinese law Sole Sponsor Legal Advisor: Ropes & Gray for Hong Kong law; JunHe LLP for Chinese law Auditors and Reporting Accountants: Hong Kong Deloitte Touche Tohmatsu Industry Consultant: Frost & Sullivan Consulting (Beijing) Co., Ltd. Shanghai Branch Compliance Advisor: Horb Capital Ltd.