Shang Hai Zheng Quan Bao·2026-01-22 19:38Core Viewpoint - Shanghai Fosun Pharmaceutical (Group) Co., Ltd. plans to spin off its subsidiary, Fosun Antigen (Chengdu) Biopharmaceutical Co., Ltd., for a listing on the Hong Kong Stock Exchange, which is expected to maintain the company's control over the subsidiary after the split [1][6]. Group 1: Spin-off Details - The board of directors approved the spin-off proposal during a meeting held on January 22, 2026, with unanimous support from all directors [5][7]. - The spin-off is subject to various approvals, including from the company's shareholders and regulatory bodies, which introduces uncertainty regarding the timeline and feasibility of the listing [2][9]. Group 2: Financial and Operational Aspects - Fosun Antigen has reported net profits of RMB 3.731 billion, RMB 2.011 billion, and RMB 2.314 billion for the years 2022, 2023, and 2024 respectively, indicating consistent profitability over the last three years [21]. - The cumulative net profit attributable to the parent company, after excluding the subsidiary's losses, is RMB 8.076 billion, exceeding the required RMB 600 million [21][22]. Group 3: Strategic Rationale - The spin-off aims to enhance the focus on the vaccine business, which is positioned as a core area of growth amid increasing demand for innovative vaccines [40][41]. - By establishing Fosun Antigen as an independent entity, the company seeks to optimize resource allocation and improve operational efficiency, thereby enhancing competitiveness in the vaccine market [42][43]. Group 4: Market Position and Future Prospects - The spin-off is expected to unlock the valuation potential of Fosun Antigen, allowing for clearer financial analysis and potentially better market pricing [44]. - The move is aligned with the company's internationalization strategy, leveraging Hong Kong's status as a financial hub to attract global investment and partnerships [45].