Beijing Tongrentang Healthcare (02667) will be listed from March 20th to March 25th, planning to globally issue 108 million H shares.

Beijing Tongrentang Healthcare (02667) will be listed from March 20, 2026 to March 25, 2026, planning to globally offer 108 million H-shares, with approximately 10% for public offering in Hong Kong and approximately 90% for international offering, with an additional 15% overallotment option. The offering price per share is set to be between 7.3-8.3 Hong Kong dollars, with a unit of 500 shares. The H-shares are expected to commence trading on the Stock Exchange on March 30, 2026 (Monday) at 9:00 am. The group is a subsidiary of Beijing Tongrentang focused on providing traditional Chinese medicine healthcare services in China. It offers comprehensive Chinese medicine healthcare services to individual customers, standardized management services to institutional clients, as well as various health and other products. The group combines "medical" and "healthcare" to provide modern and customized Chinese medicine healthcare services, integrating both medicinal treatment and non-medication therapy, and offering standardized management to meet diverse customer needs. As of the most recent feasible date, the group has established a tiered Chinese medicine healthcare service network, including 12 self-owned offline medical institutions and an internet hospital, as well as 12 offline managed medical institutions. Leveraging the renowned brand "Beijing Tongrentang" and quality medications, the group has accumulated and integrated a substantial amount of medical resources. Based on total outpatient and inpatient visits in 2024, the group is the largest Chinese medicine hospital group in China's non-public sector healthcare service industry, with a market share of 1.7%. In terms of total revenue from Chinese medicine healthcare services in 2024, the group ranks second with a market share of 0.2%, accounting for 46.5% of the total market size in China's Chinese medicine healthcare service industry that year. The company has entered into cornerstone investment agreements, where cornerstone investors have agreed to subscribe for a certain number of shares at the offer price under specific conditions, totaling approximately 389 million Hong Kong dollars. The cornerstone investment includes funds from Aviation Port Technology Capital (Hong Kong) Limited (Aviation Port Technology) and Aurora SF. Assuming an offering price of 7.80 Hong Kong dollars per share, the group estimates that after deducting estimated global offering underwriting commissions and expenses, as well as assuming non-exercise of the overallotment option, the net proceeds from the global offering would be around 771 million Hong Kong dollars. The group plans to utilize the net proceeds from the global offering for the following purposes: approximately 47.5% for expanding the Chinese medicine healthcare service network, around 23.6% for enhancing the group's Chinese medicine healthcare service capabilities from 2025 to 2029, about 18.9% for repaying outstanding bank loans, and 10% for working capital and other general corporate purposes. During the historical periods, most of the group's revenue came from providing Chinese medicine healthcare services to Chinese customers. For the years ended December 31, 2022, 2023, and 2024, as well as the nine months ended September 30, 2024 and 2025, revenue generated from Chinese medicine healthcare services was 815 million yuan, 995 million yuan, 988 million yuan, 702 million yuan, and 724 million yuan, accounting for 89.4%, 86.3%, 84.1%, 84.3%, and 84.3% of total revenue during the respective periods.