Precision Surgery Provider Yida Health Form Hong Kong Stock Exchange Bank of China is the largest institutional investor

Financial Associated Press (Shanghai, Editor Zhou Xinyang) news, Medical Technology Holdings Limited submitted a table to the main board of the Hong Kong Stock Exchange, Morgan Stanley and CICC as its lead underwriters. The Company submitted a listing application to the Hong Kong Stock Exchange on 9 July 2021, which later lapsed.

Eldec Health is a provider of intelligent and precise surgical solutions. Precision surgery is a series of solutions that accurately and quantifiably cover the clinical evaluation of surgery, preoperative planning to surgical operation and postoperative evaluation with the help of medical imaging and artificial intelligence technology.

The data shows that Yida Health has received multiple rounds of financing and a number of big-name institutions have entered the market. Prior to the IPO, Bank of China held 18.96% of the shares through Bridgellant Link Development Ltd, its largest institutional shareholder. SoftBank holds 17.59%, Matrix Partners holds 10.52%, Morningside Ventures holds 11.48%, and TrustTrust Capital holds 5.31%.

Eldec Health's business consists of both surgical robots and precision surgical planning solutions. The portfolio also includes four precision surgical software that has been commercialized, as well as four candidate surgical robots, four candidate precision surgical software, and several medical consumables under development.

The company's core products, IQQA-Guide series surgical robots and Feng Precision Surgical Planning Software product line, including clinically validated IQQA-3D. Eldia Health has established a cloud platform for digital solutions for 3D precision surgery (IQQA cloud platform) in China, which integrates IQQA-3D functions to enable doctors to collaborate on intelligent surgical planning remotely in real time.

The percutaneous surgical robot IQQA-Guide series products were approved by the US FDA (US Food and Drug Administration) in 2015, and subsequently obtained the three types of medical device registration certificate issued by the State Food and Drug Administration in January 2020 through the special approval procedure for innovative medical devices of the State Food and Drug Administration of China.

It is worth mentioning that as of now, there are only three major market participants in China's percutaneous surgical robots, and there are four approved and marketed products. Among these products, IQQA-Guide 1.0 (MII) is the first surgical robot in China to be approved to use intelligent surgical navigation for all solid organs in the lungs and abdomen.

One of the main applications of precision surgical planning is the thoracic cavity and abdominal organs. In 2020, 31,700 chest and abdominal surgeries were supported by precision surgical planning, and this number is expected to grow rapidly, reaching 141,600 in 2025 and finally 639,200 in 2030.

Through the IQQA-3D and IQQA cloud platforms, Eleder Health has assisted more than 80,000 precision surgeries in China, covering more than 60 of the top 100 hospitals published by the Institute of Medical Management of Fudan University.

For the purpose of this fundraising, the prospectus discloses that it will accelerate the development of products under development and diversify products; continue to strengthen research and development capabilities; accelerate the commercialization process; and further develop the precision surgery ecosystem through strategic cooperation.

Of course, the company's prospectus also discloses risk factors, including: continuous losses, increased investment in research and development, net current liabilities, credit risk, product sales and unfavorable progress of products under development, industry competition, serious adverse events caused by products, risks related to various government regulations, intellectual property risks, etc.

In terms of finance, the company's revenue in 2019 and 2020 was 20.059 million yuan (RMB) and 22.303 million yuan respectively, and it was 48.43 million yuan in the ten months ended 2021. Losses for the same period were $247 million, $286 million and $793 million, respectively.

Notably, the company is expected to continue to generate losses and may not be able to achieve or maintain profitability for the time being.