HK/China Healthcare Analyst (ex-Fosun Pharma)

Xinyao (Criss) Wang

Equity Capital Markets

<ul>
<li>Quadrivalent subunit influenza vaccine has been approved for market launch, but performance deteriorated due to product returns and provision for impairment of inventories.Fierce competition has intensified the pressure on profits.</li>
<li>Core founding shareholders have no background in vaccine R&amp;D.Ab&amp;B lags behind in terms of R&amp;D capabilities/forward-looking vision, leading to insufficient depth of pipeline layout and a decline in future competitiveness.</li>
<li>After Series B financing, post-money valuation reached RMB4.2 billion. We think <a href="https://www.smartkarma.com/entities/ab-b-bio-tech-co-ltd" target="_blank" data-smartkarma-citation="entities:44278:1" rel="noopener">Ab&amp;B Bio-Tech (ABB HK)</a>’s valuation should be lower than CanSino, but would be higher than <a href="https://www.smartkarma.com/entities/aim-vaccine-co-ltd" target="_blank" data-smartkarma-citation="entities:33778:1" rel="noopener">AIM Vaccine (6660 HK)</a>. </li>
</ul>


Quadrivalent subunit influenza vaccine has been approved for market launch, but performance deteriorated due to product returns and provision for impairment of inventories.Fierce competition has intensified the pressure on profits.
Core founding shareholders have no background in vaccine R&amp;D.Ab&amp;B lags behind in terms of R&amp;D capabilities/forward-looking vision, leading to insufficient depth of pipeline layout and a decline in future competitiveness.
After Series B financing, post-money valuation reached RMB4.2 billion. We think Ab&amp;B Bio-Tech (ABB HK)’s valuation should be lower than CanSino, but would be higher than AIM Vaccine (6660 HK). 


Pre-IPO Ab&B Bio-Tech (PHIP Updates) - Some Points Worth the Attention

Asia Pac IPO & Placement Research, China biotech, Aequitas Research

Ke Yan, CFA, FRM

Asia Pac IPO & Placement Research, China biotech

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

<ul>
<li>China-Based vaccine biopharmaceutical company Ab&amp;B is looking to raise at least US$100 million via a Hong Kong listing. The joint book runners are CITIC and CMBI.</li>
<li>In our previous insight, we looked at the story that the company is trying to sell and the influenza vaccine market.</li>
<li>In this insight, we look at the latest updates in its PHIP filing.</li>
</ul>


China-Based vaccine biopharmaceutical company Ab&amp;B is looking to raise at least US$100 million via a Hong Kong listing. The joint book runners are CITIC and CMBI.
In our previous insight, we looked at the story that the company is trying to sell and the influenza vaccine market.
In this insight, we look at the latest updates in its PHIP filing.


Ab&B Bio-Tech (中慧生物) Pre-IPO: PHIP Updates Suggest Competition Intensifying

<ul>
<li>The investment logic of vaccine companies is different from that of biotech. Generally speaking, vaccine companies cannot develop to large scale without successfully betting on blockbuster vaccine varieties.</li>
<li>Commercialization of Ab&amp;B’s vaccines could face uncertainties due to fierce competition/price war/slower R&amp;D progress. Some Class II vaccines could be converted to Class I vaccines. Breakthrough point lies in internationalization. </li>
<li>After Series B financing, post-money valuation reached RMB4.2 billion. Since CanSino’s pipelines are either global innovative, or potential best-in-class or first-in-class in China, Ab&amp;B’s valuation should be lower than CanSino.</li>
</ul>


The investment logic of vaccine companies is different from that of biotech. Generally speaking, vaccine companies cannot develop to large scale without successfully betting on blockbuster vaccine varieties.
Commercialization of Ab&amp;B’s vaccines could face uncertainties due to fierce competition/price war/slower R&amp;D progress. Some Class II vaccines could be converted to Class I vaccines. Breakthrough point lies in internationalization. 
After Series B financing, post-money valuation reached RMB4.2 billion. Since CanSino’s pipelines are either global innovative, or potential best-in-class or first-in-class in China, Ab&amp;B’s valuation should be lower than CanSino.


Pre-IPO Ab&B Bio-Tech: Commercialization May Be Lower than Expected, Thereby Dragging Down Valuation

Equity Bottom-Up

<ul>
<li>China-Based vaccine biopharmaceutical company Ab&amp;B is looking to raise at least US$100 million via a Hong Kong listing.</li>
<li>In this note, we look at the story that the company is trying to market.</li>
<li>We are of the view that the potential of its core flu vaccine product is not that rosy. Its pre-IPO investors and founders are of mediocre quality.</li>
</ul>


China-Based vaccine biopharmaceutical company Ab&amp;B is looking to raise at least US$100 million via a Hong Kong listing.
In this note, we look at the story that the company is trying to market.
We are of the view that the potential of its core flu vaccine product is not that rosy. Its pre-IPO investors and founders are of mediocre quality.


Ab&B Bio-Tech (中慧生物) Pre-IPO: A Shaky Story of Flu Vaccine Rising Star

Global Healthcare Analyst

Tina Banerjee

Thematic (Sector/Industry)

<ul>
<li>China has published 2025 National Reimbursement Drug List, which will be officially implemented nationwide on January 1, 2026. The list added 114 new drugs, including 50 Class 1 innovative drugs.</li>
<li>Fosun Pharmaceutical subsidiary inked exclusive global collaboration and license agreement with Pfizer for weight loss drug candidate YP05002. SanBio obtained partial change approval to the marketing authorization for Akuugo.</li>
<li>PeptiDream achieved milestone of nominating a clinical development candidate from collaboration program with Asahi Kasei. Zydus Lifesciences entered strategic partnership with Formycon for exclusive licensing and supply of Keytruda biosimilar.</li>
</ul>


China has published 2025 National Reimbursement Drug List, which will be officially implemented nationwide on January 1, 2026. The list added 114 new drugs, including 50 Class 1 innovative drugs.
Fosun Pharmaceutical subsidiary inked exclusive global collaboration and license agreement with Pfizer for weight loss drug candidate YP05002. SanBio obtained partial change approval to the marketing authorization for Akuugo.
PeptiDream achieved milestone of nominating a clinical development candidate from collaboration program with Asahi Kasei. Zydus Lifesciences entered strategic partnership with Formycon for exclusive licensing and supply of Keytruda biosimilar.


APAC Healthcare Weekly (December 14) – China NRDL, Fosun Pharma, SanBio, Peptidream, Zydus Life

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Ab&B Bio-Tech (ABB HK)

Pre-IPO Ab&B Bio-Tech (PHIP Updates) - Some Points Worth the Attention

Ab&B's performance has deteriorated due to product returns and inventory impairment.Intense competition/lacking R&D vision impact future...

Xinyao (Criss) Wang

Ab&B Bio-Tech (中慧生物) Pre-IPO: PHIP Updates Suggest Competition Intensifying

China-based vaccine company Ab&B seeks to raise $100 million through Hong Kong listing. We look at the updates in PHIP and noted the intensified...

Ke Yan, CFA, FRM

Pre-IPO Ab&B Bio-Tech: Commercialization May Be Lower than Expected, Thereby Dragging Down Valuation

Vaccine companies need to bet on blockbuster varieties to scale up. Ab&B face commercialization uncertainty. Internationalization is the...

Xinyao (Criss) Wang

Ab&B Bio-Tech (中慧生物) Pre-IPO: A Shaky Story of Flu Vaccine Rising Star

China's Ab&B seeks to raise $100 million through Hong Kong listing, but concerns arise over the potential of its flu vaccine product and the...

Ke Yan, CFA, FRM

APAC Healthcare Weekly (December 14) – China NRDL, Fosun Pharma, SanBio, Peptidream, Zydus Life

China published 2025 NRDL, adding 114 new drugs. Fosun Pharma inked outlicensing deal with Pfizer for obesity drug candidate. PeptiDream achieved...

Tina Banerjee

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Pre-IPO Ab&B Bio-Tech (PHIP Updates) - Some Points Worth the Attention

​Ab&B's performance has deteriorated due to product returns and inventory impairment.Intense competition/lacking R&D vision impact future...

Xinyao (Criss) Wang

Ab&B Bio-Tech (中慧生物) Pre-IPO: PHIP Updates Suggest Competition Intensifying

​China-based vaccine company Ab&B seeks to raise $100 million through Hong Kong listing. We look at the updates in PHIP and noted the intensified...

Ke Yan, CFA, FRM

Pre-IPO Ab&B Bio-Tech: Commercialization May Be Lower than Expected, Thereby Dragging Down Valuation

​Vaccine companies need to bet on blockbuster varieties to scale up. Ab&B face commercialization uncertainty. Internationalization is the...

Xinyao (Criss) Wang

Ab&B Bio-Tech (中慧生物) Pre-IPO: A Shaky Story of Flu Vaccine Rising Star

​China's Ab&B seeks to raise $100 million through Hong Kong listing, but concerns arise over the potential of its flu vaccine product and the...

Ke Yan, CFA, FRM

APAC Healthcare Weekly (December 14) – China NRDL, Fosun Pharma, SanBio, Peptidream, Zydus Life

China published 2025 NRDL, adding 114 new drugs. Fosun Pharma inked outlicensing deal with Pfizer for obesity drug candidate. PeptiDream achieved...

Tina Banerjee

Ab&B's performance has deteriorated due to product returns and inventory impairment.Intense competition/lacking R&D vision impact future...

China-based vaccine company Ab&B seeks to raise $100 million through Hong Kong listing. We look at the updates in PHIP and noted the intensified...

Vaccine companies need to bet on blockbuster varieties to scale up. Ab&B face commercialization uncertainty. Internationalization is the...

China's Ab&B seeks to raise $100 million through Hong Kong listing, but concerns arise over the potential of its flu vaccine product and the...