New Stock News | Innovative biopharmaceutical company Sinocelltech Inc. (688520.SH) files for listing on the Hong Kong Stock Exchange with a gross profit margin of over 90% for three consecutive years.

According to the disclosure by the Hong Kong Stock Exchange on May 22, Beijing Sinocelltech Inc. Biotechnology Group Co., Ltd. (688520.SH) submitted an application for listing on the main board of the Hong Kong Stock Exchange, with CITIC SEC as the exclusive sponsor. Company Introduction According to the prospectus, Sinocelltech Inc. is an innovative biopharmaceutical company, focusing on the research, development, production, and commercialization of therapeutic antibodies, recombinant proteins, and vaccines. Since its establishment in 2002, Sinocelltech Inc. has been dedicated to independent research and development, building an end-to-end development platform to support drug discovery, clinical development, and commercialization. In July 2021, Sinocelltech Inc. launched its first commercial product, Anjin (recombinant human coagulation factor VIII, or "rhFVIII"), transforming into a biopharmaceutical company with commercial operations. Since its launch, Anjin has contributed to improving the domestic supply of rhFVIII products and is expected to rank first in China's comparable products by sales value from 2023, accounting for approximately 35.5% of the rhFVIII market in 2024. With an integrated technology platform, Sinocelltech Inc. has developed a product pipeline covering oncology, autoimmune diseases, ophthalmology, hemophilia, and vaccines. As of the last practicable date, Sinocelltech Inc. has five commercial products, three authorized emergency use COVID-19 vaccine products, and 13 candidate products in ongoing clinical research. All of the company's products and candidate products are independently developed and have global intellectual property rights. Sinocelltech Inc. has more than 40 research projects selected for national and municipal research plans and has received their support. Sinocelltech Inc. has established a Good Manufacturing Practice (GMP) production system that supports the simultaneous advancement of multiple products, with the capacity to scale from pilot production to commercial production. The company's production capacity is based on its insect cell expression platform and Chinese hamster ovary cells (CHO cells) expression system. For the rhFVIII product, Sinocelltech Inc. has the world's largest design annual production capacity, with an annual capacity of up to 10 billion IU. In terms of commercialization, Sinocelltech Inc. has developed a hybrid commercialization model with an internal team as the main focus and a Contract Sales Organization (CSO) as a supplement, covering functions such as marketing, medical affairs, sales, and commercial operations to support the continuous ramp-up of its already launched products and the future commercialization of pipeline candidate products. Sinocelltech Inc.'s proprietary comprehensive biopharmaceutical technology platform supports its innovative biopharmaceutical research activities. Based on over 20 years of technical accumulation, this platform supports the complete biopharmaceutical development process from drug discovery to commercialization and enables drug development across multiple disease areas, including oncology, autoimmune diseases, ophthalmology, hemophilia, and vaccines, covering three common types of biopharmaceuticals: therapeutic antibodies, recombinant proteins, and vaccines. In terms of products and candidate products, leveraging Sinocelltech Inc.'s comprehensive biopharmaceutical technology platform and focusing on areas of significant unmet clinical needs, the company has established a differentiated biopharmaceutical pipeline, including oncology, autoimmune diseases, ophthalmology, hemophilia, and vaccines. The product line covers various types of biopharmaceuticals, including recombinant proteins, monoclonal antibodies, bispecific antibodies, multispecific antibodies, and T cell engagers. As of the last practicable date, Sinocelltech Inc.'s pipeline includes commercial products, clinical stage candidate products, and early-stage assets to support the continued advancement of commercialization and pipeline. Financial Information Revenue The company achieved revenues of approximately RMB 1.887 billion, RMB 2.512 billion, and RMB 1.56 billion in 2023, 2024, and 2025, respectively. Gross Margin The company's gross margins were 94.9%, 95.6%, and 91.8% in 2023, 2024, and 2025, respectively. Net Loss/Profit The company recorded net losses/profits of approximately RMB -397 million, RMB 112 million, and RMB -566 million in 2023, 2024, and 2025, respectively. Industry Overview Cancer is a group of diseases that can originate in almost any organ or tissue in the body, characterized by the rapid formation of abnormal cells, growth beyond normal boundaries, invasion of adjacent tissue, and/or spread to other organs. The global oncology drug market was approximately $262.1 billion in 2024 and is projected to reach $724.9 billion by 2035, with a compound annual growth rate of 9.7% from 2024 to 2035. China is one of the fastest-growing segments of the global oncology market, with a market size of approximately $37.2 billion in 2024, expected to grow to $143.7 billion by 2035, with a compound annual growth rate of 13.1%. Immune system diseases are a group of illnesses that affect the normal function of the immune system, including a wide range of conditions such as immune deficiency diseases, autoimmune diseases, and allergic diseases. The global market for immunology and inflammatory disease therapies has been growing steadily in recent years. From 2020 to 2024, the global market size expanded from approximately $131.3 billion to $204.6 billion, with a compound annual growth rate of 11.7%; it is expected to reach $412.4 billion by 2035, with a compound annual growth rate of 6.6% from 2024 to 2035. The market for immunology and inflammatory disease therapies in China is expected to increase from approximately $10.7 billion in 2024 to $42.2 billion by 2035, with a compound annual growth rate of 13.2%. Ophthalmic diseases cover a wide range of conditions that can be classified based on the anatomical structures involved into anterior segment diseases and posterior segment diseases. The occurrence of ophthalmic diseases is influenced by various risk factors, including aging, diabetes, genetic susceptibility, smoking, and infections. In particular, chronic degenerative diseases such as age-related macular degeneration (AMD), which includes dry AMD and wet AMD, are closely related to aging and systemic metabolic dysfunction, often requiring long-term or lifelong clinical management. The global ophthalmic drug market has been growing steadily in recent years. From 2020 to 2024, the global market size expanded from approximately $34.4 billion to $42.5 billion, with a compound annual growth rate of 5.5%; by 2035, the market is expected to reach $83.2 billion, with a compound annual growth rate of 6.3% from 2024 to 2035. In China, the market for ophthalmic drugs increased from RMB 18.1 billion in 2020 to RMB 27.5 billion in 2024, with a compound annual growth rate of 11.0%, and is expected to reach approximately RMB 105.6 billion by 2035, with a compound annual growth rate of 13.0% from 2024 to 2035. Board of Directors Information The board of directors consists of seven directors, including four executive directors and three independent non-executive directors. Directors serve a term of three years and are eligible for re-election at the end of their term. Ownership Structure As of the last practicable date, Lhasa Aileke directly holds approximately 62.98% of the company's shares (owned in full by Dr. Xie Liangzhi), and Lhasa Lianghaoyuan holds approximately 4.25% (controlled 90% by Ms. Li Hanyuan (spouse of Dr. Xie) and 10% by Dr. Xie). Dr. Xie also directly holds approximately 3.63% of the company's issued shares. Therefore, Lhasa Aileke, Lhasa Lianghaoyuan, Dr. Xie, and Ms. Li Hanyuan collectively control approximately 70.86% of the company's shares, forming a group of controlling shareholders. The remaining 3.27% equity of Sinocelltech Inc. Engineering Co., Ltd. is held by Lhasa Aileke and Beijing Union Pharmaceutical Technology Development Corporation (a wholly-owned state-owned institution of the Chinese Academy of Medical Sciences) holding 3.08% and 0.19%, respectively. Intermediary Team Exclusive Sponsor: CITIC SEC (Hong Kong) Limited Company Legal Counsel: Gallant Y.T. Ho & Co., King & Wood Mallesons Exclusive Sponsor Legal Counsel: Jingtian & Gongcheng Law Firm in association with Tian Yuan Law Firm and Beijing Tongshang Law Firm Reporting Accountants: Ernst & Young, HK Limited Industry Consultant: Torch Insight Consulting Limited Compliance Consultant: Bright Capital (Asia Pacific) Limited