HK/China Healthcare Analyst (ex-Fosun Pharma)

Xinyao (Criss) Wang

Thematic (Sector/Industry)

<ul>
<li>In 2021/1H, the neuro-interventional industry attracted great enthusiasm from investors, but starting from 2021/2H, things began to change and investors quickly returned to rationality.</li>
<li>The major concerns are the product homogenization, fierce market competition and the negative impact of centralized procurement policy. We summarized our policy interpretation to help investors make a prediction.</li>
<li>In terms of future trends, the grassroots market and the international markets are the breakthrough points for domestic neuro-interventional enterprises, which would be the main criteria for decision-making.</li>
</ul>


In 2021/1H, the neuro-interventional industry attracted great enthusiasm from investors, but starting from 2021/2H, things began to change and investors quickly returned to rationality.
The major concerns are the product homogenization, fierce market competition and the negative impact of centralized procurement policy. We summarized our policy interpretation to help investors make a prediction.
In terms of future trends, the grassroots market and the international markets are the breakthrough points for domestic neuro-interventional enterprises, which would be the main criteria for decision-making.


Concerns and Outlook on China Neuro-Interventional Industry

Global Healthcare Analyst

Tina Banerjee

Equity Bottom-Up

Shanghai HeartCare Medical Technology / Equity Bottom-Up

<ul>
<li>
<a href="https://www.smartkarma.com/entities/shanghai-heartcare-medical-technology" target="_blank" data-smartkarma-citation="entities:32192:1" rel="noopener">Shanghai HeartCare Medical Technology (6609 HK)</a> has leadership positioning in China’s neuro-intervention medical device market. The company has an attractive product portfolio with large addressable market.</li>
<li>Core product, Captor is expected to earn revenue of RMB656 million in 2030. Patent infringement lawsuit against Medtronic regarding Heartcare’s core product Captor remains a major overhang on the stock.</li>
<li>Heartcare shares plunged 24% since its listing in August. The company aims to commercialize 10 products between 2022 and 2025. Investors with high-risk appetite can take position.</li>
</ul>



Shanghai HeartCare Medical Technology (6609 HK) has leadership positioning in China’s neuro-intervention medical device market. The company has an attractive product portfolio with large addressable market.
Core product, Captor is expected to earn revenue of RMB656 million in 2030. Patent infringement lawsuit against Medtronic regarding Heartcare’s core product Captor remains a major overhang on the stock.
Heartcare shares plunged 24% since its listing in August. The company aims to commercialize 10 products between 2022 and 2025. Investors with high-risk appetite can take position.


Shanghai HeartCare Medcl(6609 HK): Comprehensive Stroke Produce Portfolio Comes with a Pinch of Salt

<ul>
<li>With both strong innovation and internationalization capability, Lifetech is more resistant to risks and have greater development space and long-term value, which is not common in China healthcare industry. </li>
<li>The biggest concerns currently are the policy risks and the potential deterioration of international relations.</li>
<li>But overall, Lifetech is a still company worth investor’s attention. Our view is that its future valuation would be higher than that of <a href="https://www.smartkarma.com/entities/shanghai-microport-endovas-a" target="_blank" data-smartkarma-citation="entities:30310:1" rel="noopener">Shanghai Microport Endovascular MedTech (688016 CH)</a>.</li>
</ul>


With both strong innovation and internationalization capability, Lifetech is more resistant to risks and have greater development space and long-term value, which is not common in China healthcare industry. 
The biggest concerns currently are the policy risks and the potential deterioration of international relations.
But overall, Lifetech is a still company worth investor’s attention. Our view is that its future valuation would be higher than that of Shanghai Microport Endovascular MedTech (688016 CH).


Lifetech Scientific (1302.HK) - A “dark Horse” in China Innovative Device Industry

Head of Research, IPOs & Placements, Aequitas Research

Sumeet Singh

Head of Research, IPOs & Placements

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.

Equity Capital Markets

Healthium Medtech / Equity Capital Markets

<ul>
<li>Healthium Medtech (HM) is looking to raise up to US$500m in its upcoming India IPO. </li>
<li>Healthium Medtech is a global medtech company that manufactures products used in surgical, post-surgical and chronic care. </li>
<li>In this note we will undertake a peer comparison and talk about valuations.</li>
</ul>


Healthium Medtech (HM) is looking to raise up to US$500m in its upcoming India IPO. 
Healthium Medtech is a global medtech company that manufactures products used in surgical, post-surgical and chronic care. 
In this note we will undertake a peer comparison and talk about valuations.


Healthium Medtech Pre-IPO - Peer Comparison and Thoughts on Valuation

<ul>
<li>Last Friday, the 6th national volume-based purchase (VBP) for insulin released results.</li>
<li>The NHSA issued relevant documents and proposed to implement unified access management for medical consumables, which means that more medical consumables would be included in centralized procurement.</li>
<li>The NHC issued a document promoting the standardized development of digital healthcare industry, which would bring varying degrees of influence to medical institutions and enterprises providing online healthcare services.</li>
</ul>


Last Friday, the 6th national volume-based purchase (VBP) for insulin released results.
The NHSA issued relevant documents and proposed to implement unified access management for medical consumables, which means that more medical consumables would be included in centralized procurement.
The NHC issued a document promoting the standardized development of digital healthcare industry, which would bring varying degrees of influence to medical institutions and enterprises providing online healthcare services.


China Healthcare Weekly (Nov.26)-Insulin VBP Results, Key Policy On Consumables & Digital Healthcare

China

Microport Scientific Corp. manufactures interventional and minimally invasive devices for keyhole surgery. The Company's products are used to treat vascular diseases and is developing devices to treat diabetes and orthopedic diseases.

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Microport Scientific (853 HK)

Concerns and Outlook on China Neuro-Interventional Industry

The insight analyzed China neuro-interventional industry including the reason of cool-down in primary market, the product homogenization, fierce...

Xinyao (Criss) Wang

Shanghai HeartCare Medcl(6609 HK): Comprehensive Stroke Produce Portfolio Comes with a Pinch of Salt

Comprehensive and innovative product portfolio addressing large patient pool is the key positive for the company. However, ongoing patent...

Tina Banerjee

Lifetech Scientific (1302.HK) - A “dark Horse” in China Innovative Device Industry

This insight analyzed Lifetech in terms of its three main product lines, the growth points and the outlook in the future, short-term catalysts and...

Xinyao (Criss) Wang

Healthium Medtech Pre-IPO - Peer Comparison and Thoughts on Valuation

Healthium Medtech (HM) is looking to raise up to US$500m in its upcoming India IPO. In this note, we undertake a peer comparison and talk about...

Sumeet Singh

China Healthcare Weekly (Nov.26)-Insulin VBP Results, Key Policy On Consumables & Digital Healthcare

This article analyzed the 6th VBP results on insulin, the new and key policies about unified access management on medical consumables and the...

Xinyao (Criss) Wang

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