Guangdong taienkang Pharmaceutical Co., Ltd
Building a, No. 8 Wanji south 2nd Street, Taishan North Road, Longhu District, Shantou
Guangdong Taienkang Pharmaceutical Co., Ltd.
Initial public offering and listing on GEM
Listing announcement
Sponsor (lead underwriter)
No. 618, Shangcheng Road, China (Shanghai) pilot Free Trade Zone
March, 2002
hot tip
The shares of Guangdong taienkang Pharmaceutical Co., Ltd. (hereinafter referred to as "the issuer" or "the company" or "the company") will be listed on the gem of Shenzhen Stock Exchange on March 29, 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.
Unless otherwise specified, the abbreviations or terms in this listing announcement have the same meanings as those in the prospectus of Guangdong taienkang Pharmaceutical Co., Ltd. for initial public offering and listing on the gem.
Section I important statements and tips
1、 Important statement
The company and all directors, supervisors and senior managers guarantee the authenticity, accuracy and completeness of the listing announcement, 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 Shenzhen 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 the information published on cninfo (website: www.cn. Info. Com. CN) China Securities Network (www.cs. Com. CN.) China Securities Network (www.cn. Stock. Com.) Securities Times (www.stcn. Com.) Securities Daily (www.zqrb. 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.
2、 Special tips on investment risk at the initial stage of gem IPO
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.
Specifically, the risks at the initial stage of listing include but are not limited to the following:
(I) relaxation of price limit
The competitive trading of GEM stocks is subject to a wide range of rise and fall limits. For stocks that are IPO and listed on the gem, there is no rise and fall limit in the first five trading days after listing, and then the rise and fall limit is 20%. On the first day of the listing of new shares on the main board of Shenzhen Stock Exchange, the increase limit was 44%, the decrease limit ratio was 36%, and then the increase and decrease limit was 10%. The gem further relaxed the limit on the rise and fall of stocks in the initial stage of listing, and increased the trading risk.
(II) a small number of tradable shares
At the initial stage of listing, as the share lock period of the original shareholders ranged from 12 months to 36 months, the share lock period of the special asset management plan established by the strategic placement participated by the senior management and core employees of the issuer was 12 months, and the lock period of the online lower limit share sale was 6 months. This public offering of RMB ordinary
59.1 million shares, with a total share capital of 236387500 shares after issuance, of which 50875193 shares are non tradable shares, accounting for 21.52% 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) the issuing P / E ratio is higher than the average level of the same industry
According to the industrial classification of national economy (GB / t47542017) and the guidelines for the industrial classification of listed companies (revised in 2012) (CSRC announcement [2012] No. 31) issued by the CSRC, the industry of the company is "wholesale industry (F51)". As of March 15, 2022 (T-3), the average static P / E ratio of "wholesale industry (F51)" released by China Securities Index Co., Ltd. in the latest month is 18.25 times.
As of March 15, 2022 (T-3), the valuation levels of comparable listed companies are as follows:
In 2020, deduct the static securities code corresponding to the T-3 day shares deducted in 2020. The securities are referred to as non front EPS and non back EPS. The closing price P / E ratio (deducting P / E ratio (deducting (yuan / share) (yuan / share) (yuan / share) (non front) and non back)
01110.hk Jinhuo pharmaceutical 0.0188 0.0063 0.33 17.74 52.99 group
00867.hk kangzhe pharmaceutical 1.0297 1.0857 8.47 8.23 7.80
01345.hk China pioneer 0.0416 0.0372 1.76 42.27 47.25 medicine
837090.nq Fangu pharmaceutical 2.2321 2.051825.00 11.20 12.18
Yipinhong Pharmaceutical Co.Ltd(300723) .SZ Yipinhong Pharmaceutical Co.Ltd(300723) 0.7833 0.5055 28.28 36.10 55.94
Honz Pharmaceutical Co.Ltd(300086) .SZ Honz Pharmaceutical Co.Ltd(300086) 0.0208 0.0461 8.18 394.14 177.35
Mean value --- 36.10 55.94
Note 1: calculation criteria of EPS before / after deduction of non recurring profit and loss in 2020: net profit attributable to the parent company before / after deduction of non recurring profit and loss in 2020 / total share capital on T-3 (March 15, 2022).
Note 2: the calculation of the average value of static P / E ratio excludes the abnormal value ( Honz Pharmaceutical Co.Ltd(300086) ), the PE value of companies listed on the new third board (Fangu pharmaceutical) and Hong Kong stock listed companies (Jinhuo Pharmaceutical Group, kangzhe pharmaceutical and China Pioneer pharmaceutical).
The issuance price of 19.93 yuan / share corresponds to the lower of the diluted P / E ratio of the net profit attributable to the parent company before and after deducting the non recurring profit and loss in 2020, which is 30.84 times higher than the average static P / E ratio of the industry in the latest month released by China Securities Index Co., Ltd. on March 15, 2022 (T-3), and 55.94 times lower than the average static P / E ratio of comparable companies after deducting the non recurring profit and loss in 2020, There is a risk that the decline of the issuer's share price will bring losses to investors in the future.
There is a risk that the net asset scale will increase significantly due to the acquisition of raised funds, which will have an important impact on the issuer's production and operation mode, operation management and risk control ability, financial status, profitability and long-term interests of shareholders. The issuer and the recommendation institution (lead underwriter) remind investors to pay attention to investment risks, carefully study and judge the rationality of issuance pricing, and make investment decisions rationally.
(IV) the shares can be used as the subject matter of margin trading on the first day of listing
The stock can be used as the subject matter of margin trading on the first day of listing, 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 increase 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 is that when the index stock fluctuates violently, the financing purchase of securities or the repayment of securities sale, the sale of securities lending or the repayment of securities purchase may be blocked, resulting in greater liquidity risk.
(V) risk of dilution of immediate return
With the funds raised by the company's initial public offering and listing on the gem in place, especially the situation of over raised funds in this offering, the scale of the company's net assets will increase significantly. After the completion of this offering, the company's return on net assets and other indicators have a certain degree of risk of decline in the short term.
3、 Special risk tips
The company specially reminds investors that before making investment decisions, please carefully read all the contents of "section IV Risk Factors" in the prospectus of the company, pay attention to the description of all relevant risk factors, and pay special attention to the following risk factors:
(I) R & D risk
In order to strengthen the company's research and innovation ability, the company has maintained a large R & D investment. During the reporting period, the company's R & D expenditure was 240275 million yuan, 258643 million yuan, 367157 million yuan and 174097 million yuan respectively. The R & D expenditure was mainly the drug R & D expenditure incurred by the company.
According to the relevant provisions of China's measures for the administration of drug registration and other laws and regulations, the R & D of new drugs generally needs to go through multiple stages, such as small-scale test, pilot test, quality research, stability research, safety evaluation, clinical trial, new drug registration and approval, etc; Generic drug research and development generally needs to go through multiple stages, such as small-scale test, pilot test, quality research, stability research, be or other research, registration application and so on. If the company's relevant R & D projects fail to pass the drug registration approval, it may lead to the failure of drug R & D, which may affect the recovery of the company's early investment and the realization of the company's benefits.
(II) risk of drug marketing
If the drugs developed by the company cannot meet the changing market demand after listing, or the drugs developed are not accepted by the market, or there are similar competitive products in the field of treatment, efficacy and safety on the market at that time, it will bring risks to the company's achievement of drug research and development.
(III) the risk of fluctuations in operating performance caused by the epidemic of New Coronavirus pneumonia.
At the beginning of 2020, affected by covid-19 epidemic, the global demand for masks surged in a short time. The huge market demand led to the growth of the company's mask sales and the increase of unit price. In 2020, the operating revenue of the company's masks reached 239 million yuan, accounting for 33.76% of the operating revenue. With the gradual improvement of the follow-up epidemic and the changes of market supply and demand, the sales volume, sales price and gross profit margin of the company's masks may not be able to maintain at the high level in the early stage of the epidemic. The average sales price of masks in the first half of 2020 was 1.06 yuan / piece. Due to the decline of mask price in the second half of 2020, the average sales price of masks in 2020 decreased to 0.89 yuan / piece. From January to June 2021, the average price of masks was 0.24 yuan / piece. If the sales volume and price of masks fall further, it will have an adverse impact on the company's operating performance.
(IV) operational risks of agency business
During the reporting period, the agency operation business is an important source of income and profit of the company, and the stability of the agency right has a significant impact on the operating performance of the company.
The company has been acting as an agent for Hewei Zhengchang pill and voritin since 1999, Johnson & Johnson Medical devices since 2002, and baoxinan oil since 2003. There is no disqualification and dispute during the cooperation with the main agent product suppliers. However, in the subsequent cooperation process, the possibility of affecting the cooperative relationship between the issuer and the agent product supplier due to the inability to reach an agreement with the supplier on the purchase price adjustment is not ruled out. If the agency relationship between the company's main agent products, especially the core agent products, weizhengchang pill and voritin is suspended or terminated, it will have a significant adverse impact on the company's operation.
If there are disputes over the quality of the agent products in the future, the agent drug business will have a certain adverse impact on the issuer's short-term cash flow according to the requirements of advance compensation and other terms. After the occurrence of quality problems, it will affect the sales revenue of the issuer's agent products to a certain extent. If it has a negative impact on the re registration of the agent's imported drug registration certificate and the renewal of relevant business qualifications, making the relevant products unable to be sold in China, it will have an adverse impact on the profitability of the issuer. Meanwhile, relevant matters will indirectly affect the reputation of the issuer. The combination of the above factors will adversely affect the overall operation of the issuer.
(V) risk of re registration when the registration certificate of imported drugs expires
The company's main agent products and weizhengchang pills, voritin and baoxinan oil are imported drugs. According to the provisions of the measures for the administration of drug import, imported drugs must obtain the import drug registration certificate (or pharmaceutical product registration certificate) issued by the State Food and drug administration before going through the import filing and port inspection procedures. The term of validity of the imported drug registration certificate (or pharmaceutical product registration certificate) is five years. If it is necessary to continue production or import at the expiration of the term of validity, the applicant shall apply for re registration six months before the expiration of the term of validity. At present, according to the drug re registration approval notice of Hewei Zhengchang pill, its drug approval numbers are zj20150009, zj20150010 and zj20191000, which are valid until September 24, 2025. According to voritin's drug re registration approval notice, its drug approval number is gyzz hj20160151, which is valid until April 7, 2026. According to relevant regulations, temporary import can be applied for during the re registration of drugs produced abroad. If the re registration application fails to pass the examination or the examination takes too long when the validity of the relevant import registration certificate expires, the company may not continue to import relevant products, which will be harmful to the normal operation of the company
