Fudan Zhangjiang's first public application for listing on science and Technology Innovation Board

Recently, Hong Kong stock Biomedical Company Fudan Zhangjiang announced that it plans to apply for the issuance of no more than 120 million shares, with a par value of 0.1 yuan per share, on the Shanghai Stock Exchange's scientific innovation board It is understood that Fudan Zhangjiang is mainly engaged in the innovation research, development, production and sales of biomedicine At present, it has become a biomedical innovation enterprise with intellectual property as the core source, and the enterprise conforms to the enterprise type recommended in the Shanghai Stock Exchange's recommendation guidelines for the listing of science and technology Innovation Board enterprises This is the first pharmaceutical company to be listed on the science and technology innovation board in China, and the era of science and technology innovation in the domestic pharmaceutical industry has officially opened Since November 5, 2018, the plan of setting up the science and technology innovation board has been announced On March 1, 2019, China Securities Regulatory Commission and Shanghai Stock Exchange issued and implemented the relevant business rules and supporting guidelines for the establishment of science and technology innovation board and pilot registration system, and the IPO application acceptance of enterprises is about to start On March 3, Shanghai Stock Exchange issued the recommendation guidelines for the listing of science and technology innovation board enterprises of Shanghai Stock Exchange, which showed that under the premise of clarifying the requirements for the positioning of science and technology innovation board, the recommended enterprises are those that meet the national strategy, break through the key core technology, and have high market recognition; the recommendation of new generation information technology, high-end equipment manufacturing and new generation of information technology are mainly encouraged Materials, new energy, energy conservation and environmental protection, biomedicine and technical services Generally speaking, the science and technology innovation board mainly serves the science and technology innovation enterprises that are in line with the national strategy, break through the key core technology, and have high market recognition With the development goal of supporting China's high-tech industry and strategic emerging industry, it focuses on promoting the development of innovation enterprises, and emphasizes research and development over profits According to the data disclosed by evaluatepharma, with the rising cost of new drug R & D, global R & D investment is expected to reach US $160 billion in 2021, with a compound annual growth rate of 1.9% from 2016 to 2021 The pharmaceutical industry, especially the biomedical industry, is one of the high-tech industries nowadays, and also one of the priority areas recommended by the science and technology innovation board High input, high risk and long cycle are the typical characteristics of innovative drug development In the United States, which is at the international forefront in the field of innovative drug development, due to the involvement of PE, VC and other investment institutions in the early stage of new drug development, the early development of innovative drugs has obtained a high amount of capital investment, and the mature stage technology trading market can ensure the profit withdrawal of early capital in the subsequent stage This mechanism breeds a good soil for the development of innovative drugs Many small and beautiful biomedical companies have grown up and become one of the sources of pharmaceutical innovation, among which such companies have also grown into pharmaceutical giants, such as Genentech At present, there are 2643 NASDAQ listed companies and 737 pharmaceutical related companies in the United States, which are the main sectors Among them, the biomedical sector accounts for about 8% of NASDAQ's market value, which is the most valuable sector except TMT In China, the valuation system of A-share focusing on performance has become a financing obstacle for many high-quality innovative pharmaceutical companies Innovative biotechnology companies that have not yet made profits in China can only rely on VC / PE and Hong Kong and the United States According to reports, in 2018, more than 600 domestic innovative pharmaceutical enterprises relied on VC / PE financing, with a total financing amount of 97.9 billion yuan With the implementation of the "24 year biggest reform" policy of Hong Kong Stock Exchange in April 2018, unprofitable biotechnology companies can be listed in Hong Kong Up to now, six innovative pharmaceutical enterprises, including Geli pharmaceutical, Baiji Shenzhou, Hualing pharmaceutical, Xinda biology, Junshi pharmaceutical and cornerstone pharmaceutical, have been listed on the Hong Kong stock exchange, and none of them were profitable at the time of listing As an important wind vane of the capital market, the launch of Shanghai Stock Exchange's scientific innovation board is conducive to the listing and financing of domestic pharmaceutical industry, especially innovative pharmaceutical companies The situation that the unprofitable pharmaceutical innovative companies in mainland China are difficult to be listed and financing is about to become a history, and the domestic pharmaceutical industry has opened the era of science and technology innovation According to the published detailed rules of science and technology innovation board, for biomedical companies without income and profit in the current period, if the estimated market value is not less than 4 billion yuan, at least one core product is allowed to carry out phase II clinical trials The science and Technology Innovation Board will greatly expand the financing channels of innovative pharmaceutical enterprises In the future, the biomedical sector may also become the main sector of the science and technology innovation board In the long run, the launch of science and technology innovation board is expected to create conditions for the development of domestic small and US biotech innovative pharmaceutical companies, meanwhile, broaden the exit channel of VC / PE, accelerate the upgrading of China's pharmaceutical industry, and open a new era of Chinese pharmaceutical innovation Original title: Fudan Zhangjiang's first public application for the listing of science and technology innovation board opens the era of science and technology innovation in China's pharmaceutical industry