HK/China Healthcare Analyst (ex-Fosun Pharma)

Xinyao (Criss) Wang

Over 15 years' experience in both finance and healthcare, covering clinic operations, investment and equity research in both China and overseas.

BeiGene (6160.HK/​ONC US) 2024 Results - The Performance Is Outstanding

China Healthcare Weekly (May11)-Trump's Executive Order, Pharmacy's Risks, BeiGene 25Q1 Result Is Ok

China Healthcare Weekly (May.18) - Trump to Lower US Drug Prices, Thoughts on Hengrui's IPO Pricing

Pre-IPO Nanjing Leads Biolabs - The Future Prospects of the Pipeline Are Worth Looking Forward To

Shanghai Henlius Biotech (2696 HK) - LVC Increased Its Holding of Henlius Again

Pre-IPO Wuhan Dazhong Dental Medical - Valuation Performance May Disappoint Investors

Equity Capital Markets

Fujian Haixi Pharmaceuticals / Equity Capital Markets

<ul>
<li>Sales of generic drugs are the largest performance contributor. However, due to VBP and the price reduction, Haixi’s generic drug business may shrink and is hard to drive future growth.</li>
<li>Haixi’s valuation outlook would be mainly based on innovative drug pipeline. The primary goal is to address the issue of druggability of C019199. Haixi needs to provide convincing clinical data.</li>
<li>Valuation of Haixi was about RMB1.948 billion in 2022. Considering the VBP, R&amp;D failure risk of C019199, no licensing cooperation with MNCs, we think valuation could be lower than peers.  </li>
</ul>


Sales of generic drugs are the largest performance contributor. However, due to VBP and the price reduction, Haixi’s generic drug business may shrink and is hard to drive future growth.
Haixi’s valuation outlook would be mainly based on innovative drug pipeline. The primary goal is to address the issue of druggability of C019199. Haixi needs to provide convincing clinical data.
Valuation of Haixi was about RMB1.948 billion in 2022. Considering the VBP, R&amp;D failure risk of C019199, no licensing cooperation with MNCs, we think valuation could be lower than peers.  


Pre-IPO Fujian Haixi Pharmaceuticals - The Concerns on the Pipeline and the Outlook