[HK IPO] HuaRen Bio-B Subscription Analysis: The Most Certain New Stock This Round!

Today, four new stocks arrived all at once, making a total of six new stocks currently in the IPO process, and all the funds for IPO subscriptions are clashing.

Every year around mid-year and year-end, the Hong Kong Stock Exchange, in order to boost performance, sees this kind of clustered IPO phenomenon—it's an unwritten convention.

Let’s first talk about Huaren Bio-B$B&K CORP-B(02396.HK) 

1. Company Overview

Huaren Biotech, stock code $Hyatt Hotels(H.US)uaren Bio-B(2396.HK), is a biopharmaceutical company founded in 2012, focusing on the discovery, development, and commercialization of wound healing therapies.

This IPO follows Chapter 18A of the Listing Rules, with the stock symbol marked with a "B," indicating it is a pre-revenue biotech company.

The company's core R&D focus is on platelet-derived growth factor (PDGF) drugs, primarily targeting hard-to-heal wounds with significant unmet clinical needs, such as burns and diabetic foot ulcers.

As disclosed in the prospectus, the company has 10 candidate products, seven of which are PDGF-based drugs. The core product, Pro-101-1 (for deep second-degree burns), has completed Phase IIb clinical trials.

For Chapter 18A IPOs, the recent win rate—you know it—the last one, Baiji Pharma, soared, and many IPO subscribers probably sold too early!

2. Company Prospects Analysis

The market prospects for hard-to-heal wound treatments, where the company operates, are broad, with clear driving factors.

In China, there are over 10 million burn patients annually and about 26 million diabetic foot patients. Traditional treatments like dressings and antibiotics have poor healing effects for such wounds, with a healing rate of less than 60%, and are prone to severe complications like infections and amputations, indicating a significant clinical demand gap.

PDGF, as a key cytokine promoting cell proliferation and tissue repair, has already been validated globally by successful drugs (e.g., Regranex) for market feasibility.

With the accelerating aging population and rising prevalence of chronic diseases like diabetes, the incidence of hard-to-heal wounds is expected to grow continuously, providing substantial market growth potential for biopharmaceutical companies focused on this field.

The company's core product is PDGF. The PDGF track itself has high technical barriers, and competitors in the global and domestic markets are relatively limited. Brother Cai believes Huaren Bio has a certain scarcity and is easy to hype!

3. Performance Analysis

Chapter 18A companies are all unprofitable and loss-making, so current performance is meaningless for analysis. The focus is on imagination space. We believe Huaren Bio's core product has some imagination space.

4. Cornerstone Analysis

This time, Huaren Bio has no cornerstone investors.

5. Preliminary Analysis of Huaren Bio:

1. Chapter 18A biotech companies are currently the hottest IPOs in Hong Kong—those who know, know. The last IPO was Baiji Pharma, and its impact was obvious to all!

2. Although Chapter 18A companies are currently loss-making, the key is on imagination. Huaren Bio's core product does have imagination.

3. This time, there are no cornerstone investors + no share issuance rights, plus the public offering is only HKD 90 million—the float is tiny. With these conditions combined, you know what it means.

In summary, Huaren Bio is definitely worth subscribing to.

But with all six IPOs clashing for funds, after analyzing each IPO on the public account, combined with the lottery analysis and certainty of each, we’ll discuss how to allocate funds for this wave of IPOs!

Disclaimer

This content is purely a free, non-profit sharing of personal thoughts and does not constitute any investment advice. All profits and risks of personal investment actions belong to the investor. The market carries risks; invest with caution.$IMPRESSION DHP(02695.HK) $HASHKEY HLDGS(03887.HK) $GUOXIA TECH(02655.HK)