With the blessing of the halo of two academicians, Shulan Medical received an angel round of financing of 50 million yuan three years after its establishment. At present, Shulan Medical has completed five rounds of financing, with a valuation of up to 8 billion yuan. In recent years, the intensive IPO of academicians in the medical field can be regarded as a beautiful landscape in the capital market.
Text丨Financial gossip female author: Wu Yanzu is fake and serious
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Recently, Shulan Medical once again submitted a prospectus to the Hong Kong Stock Exchange.
The word "Shulan" comes from the names of the founders, Zheng Shusen, an expert in liver transplantation, and Li Lanjuan, a leading figure in the field of infectious diseases, both academicians.
With the blessing of the halo of two academicians, Shulan Medical received an angel round of financing of 50 million yuan three years after its establishment. At present, Shulan Medical has completed five rounds of financing, with a valuation of up to 8 billion yuan.
In recent years, the intensive IPO of academicians in the medical field can be regarded as a beautiful landscape in the capital market.
1.
/ Academician husband-and-wife shop passed down to the second generation,
The whole family is worth more than 4 billion /
After submitting its listing application to the Hong Kong stock market for the first time in August last year, Shulan Medical recently hit the Hong Kong Stock Exchange again. As of December 31, 2023, Shulan Medical has 3 private medical institutions and has provided hospital management services to 17 cooperative hospitals in China.
Health care services are the core business of Shulan Medical, contributing more than 70% of the company's revenue. Its flagship hospital, Shulan (Hangzhou) Hospital, is currently the only social medical institution in China that can carry out transplantation of liver, kidney, heart and lung at the same time.
However, the biggest aura of Shulan Medical is still the two founders. In November 2013, Shulan Medical was formally established in Zhejiang, with Li Lanjuan as the chairman of the company and Zheng Shusen as the director, thus creating a precedent of "academicians running medicine".
Zheng Shusen is an expert in hepatobiliary surgery and liver transplantation, and an academician of the Chinese Academy of Engineering. Li Lanjuan is a well-known infectious disease expert and an academician of the Chinese Academy of Engineering.
The company founded by the two academicians was treated with green eyes in the capital market, and it got 50 million angel rounds three years after its establishment. As of the listing application, Shulan Medical has completed 5 rounds of financing with a valuation of 8 billion yuan, and its investment institutions include Sequoia China, Qiming Venture Partners, China Life Health Fund, GIC (Government of Singapore Investment Corporation), etc.
There is a detail in the prospectus that Shulan Medical has achieved considerable profit growth by providing nucleic acid services during the special period from 2021 to 2023, and has also received government subsidies of more than 100 million yuan in three years.
Even so, since 2021, Shulan Medical has still been in a state of loss, with losses of 82.289 million yuan, 111 million yuan and 17.252 million yuan in three years, respectively. The reason given by the company is that the company has built branches in many places, and the return on investment cycle is long, and it still takes a certain amount of time for the newly opened hospital to achieve profitability.
Another point in the prospectus is that Shulan Medical does not have shares of "tree" and "orchid".
As the founder of the company, Li Lanjuan retired in 2020, and Zheng Shusen also resigned as a director in July 2023, and is now taken over by his eldest son Zheng Jie.
In terms of shareholdings, Li Lanjuan and Zheng Shusen do not have shares in the company, and Shanghai Shulan Investment Co., Ltd. is the largest shareholder, holding 46.91% of the shares. The sons of the two academicians, Zheng Jie and Zheng Jun, hold 60% and 40% of the shares of Shulan Investment respectively.
According to the current valuation, after Shulan Medical is listed, the worth of Li Lanjuan's family may exceed 4 billion yuan.
2.
/ Valuation of 5 billion, three generations of equity, aunt in power /
On January 31, Lu Daopei Medical Group submitted a listing application to the main board of the Hong Kong Stock Exchange, co-sponsored by CITIC Securities, CMB International and Macquarie. This is the third submission of the company's statement after the two submissions on January 3, 2023 and July 5, 2023.
Lu Daopei Medical is a specialized hospital specializing in the treatment of blood cancer and other blood diseases, with three hospitals in Langfang, Hebei, Yizhuang, Beijing and Shunyi, Beijing. With these three hospitals alone, Lu Daopei has become the largest provider of hematology medical services in China in 2022, with a market share of 6.4%.
According to the prospectus, from 2020 to 2022 and in the first three quarters of 2023, Lu Daopei achieved revenue of 1.162 billion yuan, 1.370 billion yuan, 1.677 billion yuan and 1.421 billion yuan, with a compound annual growth rate of 20%. The company's gross profit margin was 20.7%, 12.2%, 14.1% and 16.5% respectively, but it is currently in a state of loss, with net losses of 122 million yuan, 408 million yuan, 547 million yuan and 88 million yuan respectively.
Due to the scarcity of subject matter, Lu Daopei Medical has been highly sought after by capital since its establishment, and has had a total of three rounds of equity financing before listing, interspersed with several old stock transfers, such as SoftBank China, Temasek, Qianhai Fund of Funds, CBC Capital and other big-name institutions.
In 2014, the valuation of the first round of equity financing of Lu Daopei Medical was about 260 million yuan, which increased to 3.6 billion yuan in 2018, and the last round of valuation before listing in 2020 reached 5 billion yuan, and the company's valuation increased nearly 20 times in 6 years.
The founder of Lu Daopei Medical is Lu Daopei, a famous hematology expert, "the first person in China to transplant bone marrow", and an academician of the Chinese Academy of Engineering. Born in Shanghai in 1931 into a medical family, he chose to study hematology while in college. In 1996, Lu Daopei was elected as an academician of the Chinese Academy of Engineering.
In 2012, at the age of nearly 80, Lu Daopei founded Lu Daopei Biotechnology, the predecessor of Lu Daopei Medical, and after more than ten years, the company has become a leading private specialty medical group for blood diseases in China.
Due to age issues, from 2016 to 2017, Lu Daopei successively transferred his shares in the company to his son Lu Wenzhao, and in 2021, Lu Wenzhao transferred his shares to his son Lu Xiaodan.
Lu Daopei Medical's equity has gone through two rounds of handover, but Lu Xiaodan is currently working at Cornell University in the United States and has not worked at Lu Daopei Medical.
At the helm of the company is CEO Lu Peihua, who is the daughter of Lu Daopei, the aunt of major shareholder Lu Xiaodan, and a senior hematology and oncology expert, who has served as an oncologist for more than 30 years at the San Jose Medical Group in the United States.
Up to now, there is no further news on the road to Lu Daopei Medical's listing on the Hong Kong Stock Exchange.
3.
/ Hillhouse Capital Investment,
Slow progress of the second IPO of "academicians" /
In July 2023, the China Securities Regulatory Commission disclosed the initial public offering guidance and filing report of "Shanghai Haihe Pharmaceutical Research and Development Co., Ltd." Prior to this, in 2021, the company had launched an attack on A-shares, but it was unsuccessful.
Haihe Pharmaceutical's main business is the discovery, development, production and commercialization of innovative anti-tumor drugs, which was jointly established in March 2011 by Shanghai Institute of Materia Medica and Zhangjiang Science and Technology Investment. The founder and actual controller of the company is Ding Jian, who has served as the chairman of the issuer since the establishment of Haihe Pharmaceutical.
Born in Shanghai in 1953, Ding Jian is an oncopharmacologist and was elected as an academician of the Chinese Academy of Engineering in 2009.
In March 2018, Haihe Pharmaceutical reached a definitive agreement with Nomaxi (Shanghai) Pharmaceutical Technology Co., Ltd. to merge into one company. After the completion of the merger, Ding Jian remained the chairman of the board of directors, and Dong Ruiping, the founder of Nomaxi, served as the CEO.
In July 2021, Haihe Pharmaceutical was listed on the Science and Technology Innovation Board for the first time, and the results were postponed. In September, Haihe Pharmaceutical was finally rejected for the second time, and the company's IPO was terminated.
The reason is that the Listing Committee of the Science and Technology Innovation Board said: "Haihe Pharmaceutical's failure to accurately disclose whether it has independently and substantially improved the core products authorized to be introduced or jointly developed, and whether it constitutes a technical dependence on the partner, does not comply with the relevant regulations." ”
According to the prospectus, Haihe Pharmaceutical's business model is mainly 9 R&D product lines, but only 1 is independent R&D, and the rest are authorized to introduce and cooperate in R&D. When it first applied for listing, the company did not have a product developed by itself on the market.
According to the prospectus, from 2018 to 2020, Haihe Pharmaceutical's net profit was 428 million yuan, -293 million yuan and -709 million yuan respectively.
According to the analysis, the lack of self-developed products is one of them, and the lack of profitability at the same time is the second reason for the failure of Haihe Pharmaceutical's first IPO.
Haihe Pharmaceutical has completed two rounds of financing so far, with a total amount of more than 2 billion yuan. In February 2019, Haihe Pharmaceutical announced the completion of a US$146.6 million financing led by Huagai Capital, and in July 2020, it again disclosed a RMB 1.2 billion Series B financing led by Warburg Pincus. In the two rounds of financing, many well-known investment companies such as Hillhouse Capital, Pacific Century Capital, Legend Capital, and CICC Capital participated.
On March 8, 2023, Haihe Pharmaceutical announced that its first product, metinib tablets (trade name: Haiyitan), was approved for marketing.
Therefore, Haihe Pharmaceutical IPO again in June.
More than half a year has passed, and the progress of Haihe Pharmaceutical's marketing has not been disclosed.
4.
/Epilogue/
As an enterprise in the field of biomedicine, the breadth and depth of professional knowledge are complex, and "academicians running medicine" have irreplaceable value. This is also an important reason why the companies of many academicians have actively carried out IPOs in the past year or two.
Recently, in other fields, there are many examples of "high-end" talents gathering together for IPOs.
On March 27, 2024, the domestic AI voice unicorn, Yunzhisheng Intelligent Technology Co., Ltd., once again submitted a listing application to the main board of the Hong Kong Stock Exchange. Founded in 2012 by four PhDs in the field of AI, Yunzhisheng is supported by more than 30 external institutions and state-owned investors, including Qiming Venture Capital, Trustbridge Capital, China Internet Investment, JD.com, CICC, Qualcomm and other well-known institutions, with a company valuation of nearly 9 billion yuan.
In October 2022, Wangyuan Technology submitted a listing application to the Shenzhen Stock Exchange, and the company is mainly engaged in swimming pool cleaning robots.
According to the prospectus, Fu Guilan and Yu Qian are the joint actual controllers, controlling a total of 87.82% of the company's shares, and the two are mother and son. Yu Qian's other identity is a lecturer at Tianjin Normal University, and Fu Guilan's husband and Yu Qian's father Yu Jincheng also serves as a director of the company, and he was a professor and doctoral supervisor at Tianjin Normal University.
On August 8, 2023, Zhejiang Brain Aurora Medical Technology Co., Ltd. officially submitted the application prospectus to the Hong Kong Stock Exchange. The founder, Xiaoyi Wang, is a medical doctor and one of the first students in China to be exposed to the field of brain science, and has found that many scholars always seek answers to the professional knowledge of brain science during visiting Yale University, Harvard University, and Massachusetts General Hospital.
According to incomplete statistics, since 2020, the Department of Chemistry of Nanjing University has harvested 6 listed companies with a total market value of more than 150 billion yuan, including Addison, Legend Biotech, Trina Solar, Abbisko Pharmaceutical, Huahai Chengke and Tengya Seiko......
Judging from the above IPO companies, it involves many cutting-edge sciences such as physics, artificial intelligence, chemistry, and medicine.
Therefore, when looking at business cards, you should pay more attention to them, and when you meet "academicians, professors, doctors", you should also have desserts, and maybe they are still the CEOs of listed companies.