IPO News | Kexon Pharmaceuticals (688136.SH) reports that the main revenue of the Hong Kong Stock Exchange comes from four independent commercialized products and two imported products
The Zhitong Finance App learned that according to the Hong Kong Stock Exchange disclosure on November 6, Kexing Biopharmaceuticals Co., Ltd. (688136.SH)) submitted a listing application to the main board of the Hong Kong Stock Exchange, with CITIC Construction Investment International as the sole sponsor.
According to the prospectus, <pstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; margin: 5px0px; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-thickness: initial; text-decoration- style: initial; text-decoration-color: initial"> Kexon Pharmaceuticals is an innovation-driven, internationally-developed biopharmaceutical company focusing on R&D, production and commercialization of recombinant proteins, antibodies, and targeted delivery therapies. The company strategically focuses on key treatment areas such as oncology and autoimmunity, where there are still significant unmet clinical needs. Through independent innovation and strategic cooperation, the company has established differentiated combinations of marketed products and drug candidates, and continues to promote treatment plans with clinical and market advantages. Adhering to the “innovation+internationalization” dual-engine strategy, the company is committed to becoming a global leader in high-quality biopharmaceuticals and providing more innovative drugs and breakthrough therapies to patients around the world. </pstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; margin: 5px0px; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-thickness: initial; text-decoration- style: initial; text-decoration-color: initial">
Kexon Pharmaceuticals' biopharmaceutical products are in a leading position in their respective segments. SINOGEN (SINOGEN®) human interferon α1b injection is the first genetically-engineered innovative drug in China. According to Frost & Sullivan data, it accounted for about 55.2% of the Chinese short-acting human interferon α1b market in 2024 in terms of sales, ranking first for six consecutive years since 2019. Eposino (Eposino®) human erythropoietin injection is one of the first batch of similar products in China to obtain a new drug certificate and approval number at the same time. In 2024, it accounted for about 16.7% of the market share of the Chinese erythropoietin market in terms of sales, ranking second for four consecutive years since 2021. WHITE-C (WHITE-C®) human granulocyte colony stimulating factor injection accounted for about 5.2% of the Chinese short-acting G-CSF market in terms of sales in 2024, ranking in the top six for two consecutive years.
<pstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; margin: 5px0px; letter-spacing: normal; text-indent:0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width:0px; text-decoration-thickness: initial; text-decoration-style: initial; text-decoration-color: initial"> <spanstyle="text-wrap-mode: wrap">In the track record period, <spanstyle="text-wrap-mode:wrap"> Kexon Pharmaceuticals' main revenue came from four self-commercialized products and two introduced products, namely SINOGEN (Xeroquin®) human interferon α1b injection, Eposino (Eposino®) human erythropoietin injection, WHITE-C (Baitexi®) human granulocyte colony stimulating factor injection and CLOBICO (Changlekang®) clostridium butyrate bi-active bacterial capsules, and Apexelsin® paclitaxel injections and Reminton (like Stop®) infliximab injections. In 2022, 2023, 2024 and the six months ended June 30, 2025, the company's revenue from the above products was approximately RMB 1,314 million, RMB 1,254 billion, RMB 1,392 million and RMB 680 million respectively, accounting for 100.0%, 99.9%, 99.4% and 99.6% of the pharmaceutical business revenue for the same period. Among them, revenue from the two introduced products, Apexelsin® and Quastin® (accounting for the vast majority of the company's revenue from introduced products), accounted for 1.1%, 3.7%, 9.9%, and 20.1% of drug-related revenue during the same period, showing a significant growth trend. </spanstyle= "text-wrap-mode: wrap" >
<pstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; margin: 5px0px; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-thickness: initial; text-decoration- style: initial; text-decoration-color: initial"> <spanstyle="text-wrap-mode: wrap">Financial data
<pclass=demo6style="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; margin: 5px0px; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-thickness: initial; text- decoration-style: initial; text-decoration-color: initial"> <spanstyle="text-wrap-mode: wrap">Revenue:
<pstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; margin: 5px0px; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width:0px; text-decoration-thickness: initial; text-decoration- style: initial; text-decoration-color: initial">In 2022, 2023, 2024, 2024, and 2025 for the six months ended June 30, <spanstyle="text-wrap-mode:wrap"> Kexon Pharmaceuticals achieved revenue of approximately RMB 1,316 billion, RMB 1,259 billion, RMB 1,407 billion, and 7.60 <spanstyle="text-wrap-mode:wrap"> RMB 7.0 million <spanstyle="text-wrap-mode:wrap"> 100 million yuan <spanstyle="text-wrap-mode:wrap"> RMB . </spanstyle= "text-wrap-mode: wrap" > </spanstyle= "text-wrap-mode: wrap" > </spanstyle= "text-wrap-mode: wrap" > </spanstyle="text- wrap-mode: wrap">
<pstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; margin: 5px0px; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width:0px; text-decoration-thickness: initial; text-decoration- style: initial; text-decoration-color: initial"> <spanstyle="text-wrap-mode: wrap"> <spanstyle="text-wrap-mode: wrap"> <spanstyle="text-wrap- mode:wrap"> <spanstyle="text-wrap-mode:wrap">Net profit:
<pstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows :2; margin: 5px0px; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-thickness: initial; text-decoration- style: initial; text-decoration-color: initial">In 2022, 2023, 2024, 2024, and 2025 for the six months ended June 30, <spanstyle="text-wrap-mode:wrap"> Kexon Pharmaceuticals <spanstyle="text-wrap-mode:wrap"> achieved net profit <spanstyle="text-wrap-mode:wrap"> respectively -92.824 million yuan, about -195 million yuan, 2704.8 <spanstyle="text-wrap-mode:wrap"> 10,000 yuan, 946.1 <spanstyle="text-wrap-mode:wrap"> 10,000 yuan, 7896.4 <spanstyle="text-wrap-mode:wrap"> 10,000 yuan <spanstyle="text-wrap-mode:wrap"> RMB <spanstyle="text-wrap-mode:wrap"> . </spanstyle= "text-wrap-mode: wrap" > </spanstyle= "text-wrap-mode: wrap" > </spanstyle= "text-wrap-mode: wrap" > </spanstyle= "text-wrap-mode: wrap" > </spanstyle= "text-wrap-mode: wrap" > </spanstyle= "text-wrap-mode: wrap" > </spanstyle= "text-wrap-mode: wrap" > </spanstyle= "text-wrap-mode: wrap" >
<pstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; margin: 5px0px; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-thickness: initial; text- decoration-style: initial; text-decoration-color: initial"> <spanstyle="text-wrap-mode:wrap"> <spanstyle="text-wrap-mode:wrap"> & lt; spanstyle="text-wrap-mode:wrap"> <spanstyle="text-wrap-mode:wrap"> <spanstyle="text-wrap-mode:wrap"> <spanstyle= “text-wrap-mode: wrap"> <spanstyle="text-wrap-mode: wrap"> <spanstyle="text-wrap-mode: wrap"> <spanstyle=” text-wrap-mode: wrap">Gross profit margin:
<pstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; margin: 5px0px; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-thickness: initial; text-decoration-style: initial; text-decoration-color: initial">In 2022, 2023, 2024, and 2025 for the six months ended June 30, <spanstyle="text-wrap-mode:wrap"> Kexon Pharmaceuticals gross margins were 75.4%, 70.8%, 68.7%, and 63.6%, respectively. </spanstyle= "text-wrap-mode: wrap" >
Industry Overview
<spanstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; float: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; display: inline! important; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-thickness: initial; text-decoration- style: initial; text-decoration-color: initial"> The pharmaceutical market is mainly composed of chemicals and biological agents. Biologics can be further subdivided into recombinant protein drugs, antibody drugs, nucleic acid drugs, etc. Driven by rising prevalence of various chronic diseases, surging demand for better treatment options, and increased R&D spending and investment, the global pharmaceutical market grew from US$1324.4 billion in 2019 to US$1670.9 billion in 2024, and is expected to grow at a CAGR of 3.8% to US$209.8 billion by 2030. </spanstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; float: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; display: inline! important; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-thickness: initial; text-decoration- style: initial; text-decoration-color: initial">
China's pharmaceutical market is also showing an upward trend. Driven by huge unmet clinical demand, significant progress in innovative drugs, and increased competitiveness of domestic enterprises, the Chinese pharmaceutical market grew from RMB 1633 billion in 2019 to RMB 1828 billion in 2024. By 2030, the Chinese pharmaceutical market is expected to generate revenue of 2624.5 billion yuan.
First development<pstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; margin: 5px0px; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-thickness: initial; text-decoration- style: initial; text-decoration-color: initial"> Original biologics that have also been marketed are also known as innovative biologics. As the aging of the population intensifies and public health awareness increases, global demand for innovative drugs continues to grow steadily. Driven by the surge in clinical demand, countries around the world have generally increased their investment in the pharmaceutical field, promoted innovation in new drugs, and accelerated the development process of innovative biologics, which led to an increase in the number of clinical trials and approval for marketing of more original biologics. In 2024, the global original biologics market will reach US$427.9 billion. The market size is expected to reach US$695.5 billion by 2030, with a compound annual growth rate of 8.4% from 2024 to 2030. </pstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; margin: 5px0px; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-thickness: initial; text-decoration- style: initial; text-decoration-color: initial">
In recent years, the Chinese government has introduced a series of favorable policies to encourage the development, marketing and commercialization of innovative biologics. Thanks to favorable policies, continuous increase in R&D investment, and remarkable developments in biotechnology, the market size of original Chinese biologics has been rapidly expanding in recent years. In 2024, China's original biologics market will reach RMB 541.8 billion. The market size is expected to reach RMB 1017 billion by 2030, with a CAGR of 11.1% from 2024 to 2030.
<pstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; margin: 5px0px; letter-spacing: normal; text-indent:0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width:0px; text-decoration-thickness: initial; text-decoration-style: initial; text-decoration-color: initial">Board Information
<pclass=demo6style="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows :2; margin: 5px0px; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-thickness: initial; text-decoration- style: initial; text-decoration-color: initial"> <spanstyle="text-wrap-mode: wrap">The Board consists of eight directors, including four executive directors, one non-executive director and three independent non-executive directors:
</spanstyle= "text-wrap-mode: wrap" > </pclass=demo6style="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; margin: 5px0px; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width:0px ; text-decoration-thickness: initial; text-decoration-style: initial; text-decoration-color: initial"> </pstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; margin: 5px0px; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant- caps: normal; -webkit-text-stroke-width:0px; text-decoration-thickness: initial; text-decoration-style: initial; text-decoration-color: initial">
Shareholding structure
<spanstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; float: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; display: inline! important; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-thickness: initial; text-decoration- style: initial; text-decoration-color: initial “> As of the last practical date, Shenzhen Keyi is wholly owned by Zheng Zhong Investment, while Zheng Zhong Investment holds 99.01% of the rights and Zheng Zhong Yisheng holds 0.99% of the rights. In Zheng Zhong Yisheng, Mr. Deng owns 99% of the rights and Ms. Wen owns 1% of the rights. According to the Securities and Futures Regulations, Mr. Deng, Zheng Zhong Investment and Zheng Zhong Yisheng are each considered to have interests in shares held by Shenzhen Keyi. Mr. Deng and Ms. Wen are spouses, and they are considered to have interests in each other's shares. </spanstyle="font-size: 16px; font-family: sans-serif; white-space: normal; word-spacing: 0px; text-transform: none; float: none; font-weight: 400; color: rgb (0,0,0); font-style: normal; orphans: 2; widows: 2; display: inline! important; letter-spacing: normal; text-indent: 0px; font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-thickness: initial; text-decoration- style: initial; text-decoration-color: initial">
Intermediary team
Sole sponsor: CITIC Construction Investment (International) Finance Co., Ltd.
Sole sponsor, overall coordinator and exclusive overall coordinator: CITIC Construction Investment (International) Finance Co., Ltd.
Sole sponsor's legal adviser: 1. Related to Hong Kong and US law: Haiwen Law Firm; 2. Regarding Chinese law: Beijing Deheng Law Firm
Company Legal Adviser: 1. Related to Hong Kong and US Law: US Puying Law Firm; 2. Relevant Chinese Law: Jia Yuan Law Firm
Auditor and Reporting Accountant: Grant Thornton (Hong Kong) Certified Public Accountants Limited
Industry Advisor: Frost & Sullivan (Beijing) Consulting Co., Ltd. Shanghai Branch
Property Valuer: Jones Lang LaSalle Corporate Assessment & Consulting Ltd