Global Healthcare Analyst

Tina Banerjee

Equity Capital Markets

Xuanzhu Biopharmaceutical / Equity Capital Markets

<ul>
<li>Xuanzhu Biopharmaceutical has filed for IPO to raise up to HK$781M. The company plans to sell 67.3M shares at HK$11.6 per share.</li>
<li>Xuanzhu Biopharmaceutical is an innovation-driven biopharmaceutical company focused on developing treatment options in the fields of digestive diseases, oncology and non-alcoholic steatohepatitis (NASH).</li>
<li>2026 will be an inflection point for the company with all three core products fully commercialized, but will not be enough for the company to establish a sustainable market play.</li>
</ul>


Xuanzhu Biopharmaceutical has filed for IPO to raise up to HK$781M. The company plans to sell 67.3M shares at HK$11.6 per share.
Xuanzhu Biopharmaceutical is an innovation-driven biopharmaceutical company focused on developing treatment options in the fields of digestive diseases, oncology and non-alcoholic steatohepatitis (NASH).
2026 will be an inflection point for the company with all three core products fully commercialized, but will not be enough for the company to establish a sustainable market play.


Xuanzhu Biopharma IPO: Lacks Product Differentiation, Investors Can Give It a Pass For Now

Pan-Asia Catalysts/Events, Quiddity Advisors

David Blennerhassett

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

<ul>
<li>On the 12th November 2024, <strong><a href="https://www.smartkarma.com/entities/sihuan-pharmaceutical-hldgs" target="_blank" data-smartkarma-citation="entities:33:1" rel="noopener">Sihuan Pharmaceutical (460 HK)</a></strong> proposed spinning-off the shares of Xuanzhu Biopharm on the main board of Hong Kong.</li>
<li>
<a href="https://www.smartkarma.com/entities/xuanzhu-biopharmaceutical-co-ltd" target="_blank" data-smartkarma-citation="entities:44117:1" rel="noopener"><strong>Xuanzhu Biopharmaceutical</strong></a>'s prospectus is now out. Shares are priced at HK$11.60/share, backing out a market cap of ~HK$6bn vs. Sihuan Pharma's HK$17.4bn market cap. Trading commences on the 15th October.</li>
<li>Sihuan Pharma will hold 49.1% post IPO. Its share price is up 189% YTD. Looks frothy. Then again, so does Hong Kong's IPO market.</li>
</ul>


On the 12th November 2024, Sihuan Pharmaceutical (460 HK) proposed spinning-off the shares of Xuanzhu Biopharm on the main board of Hong Kong.

Xuanzhu Biopharmaceutical's prospectus is now out. Shares are priced at HK$11.60/share, backing out a market cap of ~HK$6bn vs. Sihuan Pharma's HK$17.4bn market cap. Trading commences on the 15th October.
Sihuan Pharma will hold 49.1% post IPO. Its share price is up 189% YTD. Looks frothy. Then again, so does Hong Kong's IPO market.


Sihuan Pharma (460 HK): On Xuanzhu Biopharm's Imminent Spin-Off

Asia Pac ECM and Index Rebal, Shenton Research

Ke Yan, CFA, FRM

Asia Pac ECM and Index Rebal

Asia Pac IPO & Placement Research, China Biotech

DZT Research

DZT Research is an independent Asia Pacific equity specialist. Our quantitative research covers index rebalancing flows, alongside exchange data analytics accross Asia Pacific. On the equity capital markets side, we focus on Asia Pacific ECM, especially biotech and TMT. Our lead analyst is frequently cited by international media.

<ul>
<li>Xuanzhu, a China-based commercial stage biopharm, launched its IPO to raise at least USD 100 million via a Hong Kong listing.</li>
<li>In our previous note, we have examined the company’s core product, including XBP-3571, XZP-3287, and XZP-3621, and its management team and investor backing.</li>
<li>In this note, we look at the deal term. We think the valuation is demanding and lacks institutional interest.</li>
</ul>


Xuanzhu, a China-based commercial stage biopharm, launched its IPO to raise at least USD 100 million via a Hong Kong listing.
In our previous note, we have examined the company’s core product, including XBP-3571, XZP-3287, and XZP-3621, and its management team and investor backing.
In this note, we look at the deal term. We think the valuation is demanding and lacks institutional interest.


Xuanzhu Biopharm  (轩竹生物科技) IPO: Spin off at a Premium

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.

Zijin Gold International / Equity Capital Markets

<ul>
<li>Aequitas Research's weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.</li>
<li>On the IPO front, this week saw a few good listings across the region while the spotlight will be on <a href="https://www.smartkarma.com/entities/zijin-gold-international" target="_blank" data-smartkarma-citation="entities:45448:1" rel="noopener">Zijin Gold (2259 HK)</a> in the coming week.</li>
<li>On the placements front, it was a relatively quiter week, as compared to some of the more recent weekly flows.</li>
</ul>


Aequitas Research's weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.
On the IPO front, this week saw a few good listings across the region while the spotlight will be on Zijin Gold (2259 HK) in the coming week.
On the placements front, it was a relatively quiter week, as compared to some of the more recent weekly flows.


ECM Weekly (29 September 2025)- Zijin, Chery, CAREIT, Orion, Butong, Victory Giant, Northern Star

HK/China Healthcare Analyst (ex-Fosun Pharma)

Xinyao (Criss) Wang

<ul>
<li>Three Core Products need to face fierce competition, and there’re other similar products being included in NRDL reimbursement or VBP. So, we’re not optimistic about the commercialization performance of Xuanzhu.</li>
<li>The A-share listing committee had doubts about Xuanzhu's pipeline strength and future commercialization outlook. So, Xuanzhu’s A-share IPO failed. The peak sales of three core products could be just RMB800mn-1bn. </li>
<li>Considering Xuanzhu’s unsatisfactory growth outlook, market value is just RMB2.4-3 billion. This means that Xuanzhu is overvalued, and reasonable valuation could be even lower than that after Series B Financing.</li>
</ul>


Three Core Products need to face fierce competition, and there’re other similar products being included in NRDL reimbursement or VBP. So, we’re not optimistic about the commercialization performance of Xuanzhu.
The A-share listing committee had doubts about Xuanzhu's pipeline strength and future commercialization outlook. So, Xuanzhu’s A-share IPO failed. The peak sales of three core products could be just RMB800mn-1bn. 
Considering Xuanzhu’s unsatisfactory growth outlook, market value is just RMB2.4-3 billion. This means that Xuanzhu is overvalued, and reasonable valuation could be even lower than that after Series B Financing.


Pre-IPO Xuanzhu Biopharmaceutical (PHIP Updates) - Some Points Worth the Attention

China

Xuanzhu Biopharmaceutical is an innovation-driven biopharmaceutical company in China, specializing in the development, industrialization, and commercialization of small-molecule and macromolecular drugs. The company focuses on major therapeutic areas including digestive diseases, oncology, and non-alcoholic steatohepatitis (NASH), with key products like KBP-3571, XZP-3287, and XZP-3621. It is headquartered in Beijing, China, and was founded in 2002.

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Xuanzhu Biopharmaceutical (2575 HK)

Xuanzhu Biopharma IPO: Lacks Product Differentiation, Investors Can Give It a Pass For Now

Xuanzhu Biopharmaceutical files for IPO to raise HK$781M. 2026 is a crucial year for the company's commercialization efforts. Lacks product...

Tina Banerjee

Sihuan Pharma (460 HK): On Xuanzhu Biopharm's Imminent Spin-Off

Sihaun Pharma has benefited a little from the HK$500mn, 12-month buyback programme announced on the 6th October 2024. But a HK$11bn run up in...

David Blennerhassett

Xuanzhu Biopharm (轩竹生物科技) IPO: Spin off at a Premium

China-based biopharm Xuanzhu launches IPO in Hong Kong to raise at least $100 million, but deal terms are seen as overvalued and lacking...

Ke Yan, CFA, FRM

ECM Weekly (29 September 2025)- Zijin, Chery, CAREIT, Orion, Butong, Victory Giant, Northern Star

Aequitas Research's weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.

Sumeet Singh

Pre-IPO Xuanzhu Biopharmaceutical (PHIP Updates) - Some Points Worth the Attention

Xuanzhu faces tough competition, leading to doubts about its commercialization outlook. The peak sales of three core products could be RMB800mn...

Xinyao (Criss) Wang

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52-week Range

Market Cap (USDm)

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Xuanzhu Biopharma IPO: Lacks Product Differentiation, Investors Can Give It a Pass For Now

​Xuanzhu Biopharmaceutical files for IPO to raise HK$781M. 2026 is a crucial year for the company's commercialization efforts. Lacks product...

Tina Banerjee

Sihuan Pharma (460 HK): On Xuanzhu Biopharm's Imminent Spin-Off

Sihaun Pharma has benefited a little from the HK$500mn, 12-month buyback programme announced on the 6th October 2024. But a HK$11bn run up in...

David Blennerhassett

Xuanzhu Biopharm (轩竹生物科技) IPO: Spin off at a Premium

​China-based biopharm Xuanzhu launches IPO in Hong Kong to raise at least $100 million, but deal terms are seen as overvalued and lacking...

Ke Yan, CFA, FRM

ECM Weekly (29 September 2025)- Zijin, Chery, CAREIT, Orion, Butong, Victory Giant, Northern Star

Aequitas Research's weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.

Sumeet Singh

Pre-IPO Xuanzhu Biopharmaceutical (PHIP Updates) - Some Points Worth the Attention

​Xuanzhu faces tough competition, leading to doubts about its commercialization outlook. The peak sales of three core products could be RMB800mn...

Xinyao (Criss) Wang

Xuanzhu Biopharmaceutical files for IPO to raise HK$781M. 2026 is a crucial year for the company's commercialization efforts. Lacks product...

China-based biopharm Xuanzhu launches IPO in Hong Kong to raise at least $100 million, but deal terms are seen as overvalued and lacking...

Xuanzhu faces tough competition, leading to doubts about its commercialization outlook. The peak sales of three core products could be RMB800mn...