Stock abbreviation: Salem biotechnology Stock Code: 688163 Shanghai serom Bio Technology Co., Ltd
No. 1288, Huaqing Road, Qingpu District, Shanghai
Sponsor (lead underwriter) of IPO listing announcement on science and Innovation Board
(15 / F, block a, Zhaotai International Center, No. 10, Chaoyangmen South Street, Chaoyang District, Beijing)
March 10, 2002
hot tip
The shares of Shanghai Sailun Biotechnology Co., Ltd. (hereinafter referred to as "Sailun biotechnology", "the company", "the issuer" or "the company") will be listed on the Shanghai Stock Exchange on March 11, 2022. The company reminds investors to fully understand the risks of the stock market and the risk factors disclosed by the company, avoid blindly following the trend of "speculation" in the initial stage of IPO, and make prudent decision and rational investment.
Section I important statements and tips
1、 Important statement
The company and all directors, supervisors and senior managers guarantee that the information disclosed in the listing announcement is true, accurate and complete, promise that there are no false records, misleading statements or major omissions in the listing announcement, and bear legal liabilities according to law.
The opinions of Shanghai Stock Exchange and relevant government authorities on the listing of the company's shares and related matters do not indicate any guarantee to the company.
The company reminds investors to carefully read and publish on the website of Shanghai Stock Exchange（ http://www.sse.com.cn. ）The contents of the "risk factors" chapter of the company's prospectus should pay attention to risks, make prudent decisions and make rational investment.
The company reminds the majority of investors to pay attention to the relevant contents not involved in this listing announcement. Please refer to the full text of the company's prospectus.
Unless otherwise specified, the definitions of abbreviations or terms in this listing announcement are the same as those in the prospectus of the company's initial public offering of shares.
The company reminds investors to pay attention to the investment risks in the initial stage of IPO (hereinafter referred to as "new shares"), and investors should fully understand the risks and rationally participate in the trading of new shares.
2、 Special tips on investment risks at the initial stage of IPO
The company's shares will be listed on the science and Innovation Board of Shanghai Stock Exchange on March 11, 2022. The company reminds investors to fully understand the risks of the stock market and the risk factors disclosed by the company, avoid blindly following the trend of "speculation" in the initial stage of IPO, and make prudent decision and rational investment. The company's special tips on relevant risks are as follows: (I) stock trading risk of Kechuang board
On the first day of listing, enterprises on the main board of Shanghai Stock Exchange and Shenzhen stock exchange were limited to 44%, 36% and 10% respectively.
A wide range of price limits shall be set for the competitive trading of stocks on the science and innovation board. For the stocks listed in the initial public offering, there shall be no price limit in the first five trading days after listing, and the price limit thereafter shall be 20%; The Kechuang board further relaxed the restrictions on the rise and fall of stocks in the initial stage of listing, and increased the trading risk.
(II) risk of a small number of circulating shares
If the underwriter invests in the shares of the parent company for a fixed period of 12 months, the minimum period for the initial period of time is 36 months. If the underwriter invests in the shares of the parent company for a fixed period of time with the underwriter, the minimum period for the initial period is 36 months. This public offering of 27060000 shares, with a total share capital of 108220000 shares. Among them, there are 24763604 tradable shares without restrictions, accounting for 22.88% of the total share capital after issuance. At the initial stage of listing, the number of tradable shares of the company is small, and there is a risk of insufficient liquidity.
(III) abnormal stock fluctuation risk
On the first day of listing, the shares on the science and innovation board can be used as the subject of margin trading, which may produce certain price fluctuation risk, market risk, margin increase risk and liquidity risk. Price fluctuation risk refers to that margin trading will aggravate the price fluctuation of the underlying stock; Market risk refers to that when investors use stocks as collateral for financing, they need to bear not only the risks caused by the change of the original stock price, but also the risks caused by the change of the stock price of new investment, and pay the corresponding interest; Margin call risk means that investors need to monitor the level of guarantee ratio in the whole process of trading to ensure that it is not lower than the maintenance margin ratio required by margin trading; Liquidity risk refers to that when the price of the underlying stock fluctuates violently, the financed purchase of securities or the repayment of securities, the sale of securities or the repayment of securities may be blocked, resulting in greater liquidity risk. In addition, the stock verification system for temporary suspension and serious abnormal fluctuations in the stock trading session of the science and innovation board is different from that of the main board market of the Shanghai Stock Exchange. Draw investors' attention to relevant risks.
After the IPO and listing, in addition to the operation and financial status, the stock price of the company will also be affected by many factors such as the macroeconomic situation outside China, industry conditions, capital market trends, market psychology and various major emergencies. When considering investing in the company's shares, investors should anticipate the possible investment risks caused by the above factors and make prudent judgments.
(IV) risk of high P / E ratio
The price earnings ratio of the company corresponding to the issuance price of 33.03 yuan / share is as follows:
(1) 42.43 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company before deducting non recurring profits and losses audited by an accounting firm in accordance with Chinese accounting standards in 2020 by the total share capital before this issuance);
(2) 47.46 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company after deducting non recurring profits and losses audited by an accounting firm in accordance with Chinese accounting standards in 2020 by the total share capital before the issuance);
(3) 56.58 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company before deducting non recurring profits and losses audited by an accounting firm in accordance with Chinese accounting standards in 2020 by the total share capital after this issuance);
(4) 63.28 times (earnings per share is calculated by dividing the net profit attributable to shareholders of the parent company after deducting non recurring profits and losses audited by an accounting firm in accordance with Chinese accounting standards in 2020 by the total share capital after this issuance).
According to the industry classification guidelines for listed companies (revised in 2012) issued by China Securities Regulatory Commission, the company's industry is pharmaceutical manufacturing industry (Industry Code: C27). As of February 23, 2022 (T-3), the average static P / E ratio of the industry released by China Securities Index Co., Ltd. in the latest month was 35.24 times. The price earnings ratio corresponding to the offering price is 63.28 times (earnings per share is calculated by dividing the audited net profit attributable to the company's shareholders before and after deducting non recurring profits and losses in 2020 by the total share capital after the offering), which is higher than the average static price earnings ratio of the industry in the latest month issued by China Securities Index Co., Ltd, There is a risk that future stock price falls will bring losses to investors.
3、 Special risk tips
(I) the antivenom market is a highly segmented market with low recognition, and the issuer's products do not form a dominant position in the field of snake injury treatment
As a neglected disease, snakebite has caused a significant health burden all over the world. If snakebite is not treated in time with Antivenom serum, the death and disability rate will increase significantly. In June 2017, the World Health Organization officially listed snake bite as a neglected tropical disease with the highest priority. Before the 2018 consensus on snakebite was issued, China had not yet formed a consensus or common practice on the treatment of snakebite, and there were still deficiencies in the knowledge publicity of the necessity of using antivenom serum for first aid of snakebite. There were still insufficient understanding of the importance of using antivenom serum for first aid of snakebite in many regions, resulting in differences in the treatment methods adopted by doctors in different regions, In areas where the promotion of the company is insufficient and the product coverage is insufficient, patients with snake injury are still treated by traditional Chinese medicine. In addition, some medical institutions actually use traditional Chinese medicine to treat snake bite in clinical practice. At present, the awareness of antivenom serum is still low in some areas, which has a certain adverse impact on the sales of the company's products.
Therefore, although the World Health Organization and the snake injury consensus point out that antivenom is the only drug with special effects for the treatment of snake bite poisoning, and the issuer's antivenom is also an exclusive product in China, antivenom is not the only drug in the field of snake injury treatment in China at this stage, and the issuer's antivenom products have not formed a dominant market position at present.
(II) the market share of horse broken immunoglobulin series products is low
Tetanus passive immune preparations include tetanus antitoxin (TAT), equine tetanus immunoglobulin (f (ab ') 2) and tetanus human immunoglobulin (htig), which compete with each other.
Compared with tetanus antitoxin (TAT) and tetanus human immunoglobulin (htig), the company's horse tetanus immunoglobulin products have a late listing time and a short market cultivation time. At present, the market recognition is relatively low, and the company's horse tetanus immunoglobulin series products have a low share in China's tetanus passive immune agent market at this stage.
(III) the company's income scale is small at this stage
In each period of the reporting period, the company's operating revenue was 1443309 million yuan, 1880971 million yuan, 1855628 million yuan and 959197 million yuan respectively. The revenue in 2019 increased by 30.32% compared with that in 2018. In 2020, due to the impact of covid-19 pneumonia epidemic, the company's revenue of equine tetanus immunoglobulin products focusing on the prevention and treatment of tetanus in traumatic patients decreased compared with that in 2019, The business income of antivenom series decreased slightly in 2020.
Compared with the listed Biopharmaceutical Enterprises in the same industry, the company's income scale is small at this stage. The rapid development of the company is restricted by the existing scale and is at a disadvantage in R & D investment, capacity expansion and financing channels. (IV) there is a positive relationship between the sponsor and the issuer
Founder investment is a wholly-owned subsidiary of Founder Securities Co.Ltd(601901) ( Founder Securities Co.Ltd(601901) . Sh, securities abbreviation: Founder Securities Co.Ltd(601901) ), holding 2.7107% of the shares of the issuer before this issuance; Founder underwriting sponsor is also a wholly-owned subsidiary of Founder Securities Co.Ltd(601901) . The founder investment of the issuer's shareholder is related to the sponsor. Although both founder investment and founder underwriting sponsor are wholly-owned subsidiaries of Founder Securities Co.Ltd(601901) , they are independent legal persons and are strictly supervised by securities regulatory authorities. They are independent and effectively isolated from each other in terms of personnel, institutions, assets, operation and management, business operation, office space, etc.
(V) the impact of New Coronavirus pneumonia outbreaks on the operation of the company
In early 2020, the outbreak of New Coronavirus pneumonia broke out outside China. Traffic control, reduction of staff aggregation and delay in resumption were introduced in various places, which had some adverse effects on production and operation activities of raw materials, such as purchasing, R & D and production, product transportation and sales, and clinical trials. Meanwhile, during the period of covid-19 pneumonia epidemic prevention and control, the main socio-economic activities and construction projects once stagnated, resulting in the reduction of residents' outdoor activities and the significant reduction of hospital visits, which had a great impact on the company's horse broken immunoglobulin products focusing on the prevention and treatment of trauma. In 2020, the company's sales revenue of horse broken immunoglobulin products decreased by 3.4289 million yuan compared with 2019; Meanwhile, affected by the reduction of residents' outdoor activities caused by covid-19 pneumonia, the sales revenue of the company's antivenom serum in 2020 increased by only 0.94% compared with 2019.
As the market of the company's products is greatly affected by the factors of personnel going out, and the company's products are one-time emergency rescue drugs, although the epidemic situation in China is gradually controlled in the second half of 2020 and the demand of the terminal market is basically restored, the decline in the clinical use of the company's products caused by the epidemic situation in the early stage cannot be made up in the future. Therefore, the covid-19 pneumonia epidemic has led to a slight decrease in the company's operating revenue in 2020 and failed to achieve the expected growth target.
(VI) risk of relatively single product structure of the company
At present, the company's main income and profit come from the production and sales of anti snake venom serum series products and horse tetanus immunoglobulin. The company's product structure is relatively single. In each period of the reporting period, the company's operating revenue was 1443309 million yuan, 1880971 million yuan, 1855628 million yuan and 959197 million yuan respectively. The revenue mainly came from "anti snake venom serum series products" and "horse broken immunoglobulin", which accounted for more than 98% of the operating revenue.
The company's existing product categories are relatively small. In the future, if the sales scale of antivenom serum products and horse break immunoglobulin changes significantly or the market price decreases, and the company's new products cannot be successfully launched, it will have an adverse impact on the company's operation.
(VII) price reduction risk caused by product price control or competitive product competition
In May 2015, the national development and Reform Commission, together with the national health and Family Planning Commission, the Ministry of human resources and social security and other departments, issued the notice on printing and distributing opinions on promoting drug price reform, which has abolished the price control measures of most drugs since June 1, 2015. Before that, the price of the company's antivenom serum products had not been adjusted for many years. From 2016 to 2018, the company adjusted the price of antivenom serum products, with a large increase.
From 2017 to January to June 2021, taking the anti Agkistrodon halys venom serum products with the highest sales proportion as an example, the average sales prices were 574.68 yuan / piece, 945.17 yuan / piece, 993.08 yuan / piece, 988.62 yuan / piece and 988.55 yuan / piece respectively. The increase of sales price of antivenom serum products is one of the important factors for the growth of the company's performance.
In the future, if the national or local authorities issue the price limit policy for the company's antivenom products, resulting in the reduction of the sales price of the products, or the competitive price reduction due to the emergence of competitive products of new participants, the company will face the risk of slowing down the performance growth or declining the profitability.
(VIII) risk of the impact of the provision for inventory falling price on the issuer's future performance
Net book value of the company's inventories at the end of each reporting period
