Key investment points
Sorting of investment and financing data in April 2022
Global: the investment and financing of biomedicine and medical devices has been at a relatively low level for three consecutive months. In April 2022, a total of 82 financing events occurred in the global biomedical field, and the total financing disclosed was about US $2.727 billion, a month on month decrease of about 9%; A total of 60 financing events occurred in the field of medical devices, and the total amount of financing disclosed exceeded US $608 million, a month on month decrease of about 56%. China: the monthly financing data of biomedicine and medical devices are in a state of shock. In April 2022, 39 financing events occurred in China's biomedical field, with a total financing amount of US $568 million, a month on month decrease of 47%; A total of 35 financing events occurred in the field of medical devices, with a total financing amount of US $282 million, down 33% month on month. In terms of sub sectors, biopharmaceutical and IVD were the sectors with the highest attention to global investment and financing in April, with 46 and 21 investment and financing events respectively.
The IPO popularity in the global medical and health sector was low, and three new A-share companies were listed in April. The three listed companies are Yaokang Biology (experimental animal model), Haichuang pharmaceutical-u (innovative medicine) and Tianyi medical (medical devices). There were no IPOs in Hong Kong stocks in April, and there were six IPOs in US stocks in April, double that of last month.
Inventory of investment and financing events this week
This week, there were frequent investment and financing events in the primary medical and health market outside China. Large amounts of funds were mainly invested in the field of cell gene therapy and RNA related drugs, and the investment rounds were relatively scattered. Xingrui pharmaceutical, laikai medical, Senlang biology, remix therapeutics, kriya therapeutics and others received hundreds of millions of yuan of financing respectively.
Secondary market: this week, the two companies made initial public offerings, and the two companies started private placement. Yunkang group, a medical operation service provider, and Prius, an SMO company, are listed on the main board of the Hong Kong Stock Exchange and the gem of the Shenzhen Stock Exchange respectively Wuxi Apptec Co.Ltd(603259) and Suzhou Nanomicro Technology Co.Ltd(688690) plan to carry out private placement in H shares and A-Shares respectively Wuxi Apptec Co.Ltd(603259) by further increasing overseas capacity investment, it is expected to establish stronger stickiness with customers and provide capacity support for the sustainable and stable growth of medium and long-term performance.
The main acquisition events this week: ① Yixintang Pharmaceutical Group Co.Ltd(002727) 183 million yuan will be collected from pharmacies in the province, and its store share in Shanxi may reach 5.28%. ② Many subsidiaries of Ruikang biology are out of control. ③ Jiangsu Hengrui Medicine Co.Ltd(600276) overseas wholly-owned subsidiary luzsana biotechnology was established to be responsible for drug development and commercialization in overseas markets.
Sorting out relevant policies and important documents this week
On May 16, CDE released the technical guidelines for the evaluation of immune related adverse events in antitumor therapy. The guiding principles mainly give clear guidance on how to improve the scientificity and robustness of the identification and judgment of immune related adverse events, improve the quality of instruction writing, and effectively ensure the safety of patients' medication.
Informa released the 2022 annual analysis of pharmaceutical R & D trends. The white paper points out that the global boom in new drug research and development will continue in 2022, and China has become an important new force in global new drug research and development. The following are the main points of the white paper: ① the global drug R & D boom continues, and small and medium-sized pharmaceutical companies have become active in pipeline growth. ② The research and development heat of anticancer and gene therapy drugs continued, and the research and development of covid-19 drugs decreased. ③ Milestone: Chinese pharmaceutical enterprises have entered the top 25 in the scale of R & D pipeline for the first time, and the period of vigorous development of local new drugs has come
Sorting out the valuation of innovative pharmaceutical machinery sector (May 20, 2022)
Overall, the valuation level of innovative drugs and innovative devices in A-Shares is higher than that in H shares, mainly because a large number of innovative drug and device enterprises in H shares are still in a state of loss. In terms of breakdown, the average valuation level (PE (TTM) mean 49) of the innovative medicine sector (wind innovative medicine) of A-Shares is slightly higher than that of the device sector (wind medical devices) (PE (TTM) mean 41). After removing the negative value, the average PE (TTM) of the two sectors is 21. From the perspective of market performance, the A-share innovative medicine and machinery sector (wind innovative medicine HK and Shenwan HK medical devices) fell slightly this week, with weekly increases and decreases of - 0.91% and - 1.18% respectively. Among them, the top five stocks were Zhejiang Hisun Pharmaceutical Co.Ltd(600267) (+ 21.48%), Huadong Medicine Co.Ltd(000963) (+ 10.48%), Cansino Biologics Inc(688185) (+ 9.23%), Imeik Technology Development Co.Ltd(300896) (+ 7.46%), Beijing Strong Biotechnologies Inc(300406) (+ 7.22%). This week, the H-share innovative pharmaceutical machinery sector ushered in a sharp rise, with weekly increases and decreases of + 3.15% and + 7.01% respectively. Among them, the top five stocks were Peijia medical-b (+ 16.33%), Weigao (+ 12.94%), Fangda Holdings (+ 12.20%), minimally invasive medical (+ 10.01%), minimally invasive Siasun Robot&Automation Co.Ltd(300024) -b (+ 9.79%).
Resumption of previous views
The investment and financing funds in these two weeks mainly include small molecule innovative drugs, cell gene therapy, innovative instruments and synthetic biology. In the field of small molecule innovative drugs, we found that in addition to the traditional methods of drug discovery by targeting proteins, RNA drug research and development is deeply sought after by foreign capital in China. On the other hand, Hengrui, Wuxi Apptec Co.Ltd(603259) and other Chinese leaders have made great moves in the international layout in the past two weeks. Combined with the data of the 2022 pharmaceutical research and development white paper, we believe that China Meheco Group Co.Ltd(600056) enterprises still have more space than expected under the trend of internationalization of global new drug research and development.
Risk tips
Changes in industrial policies; The end of the epidemic was not as expected; R & D progress is less than expected.
