Core Viewpoint - The recent bull market in Hong Kong's innovative drug sector has led to inflated valuations and speculative behavior among companies seeking IPOs, raising concerns about potential valuation bubbles in the market [2][9]. Group 1: Market Dynamics - The Hong Kong stock market has seen a surge, prompting companies to rapidly seek funding and IPO opportunities [2][3]. - Companies are increasingly claiming to be on the verge of IPOs, with some even inflating their business models to attract investment [4][5]. - The lack of clear IPO standards in Hong Kong has made it challenging for investors to assess the true value of companies [4][6]. Group 2: Investment Behavior - Investors are exhibiting a frenzied approach to funding, with some willing to invest without negotiating terms, driven by the fear of missing out on potential gains [4][7]. - There are reports of companies engaging in practices like mini IPOs to manipulate market perception and maintain valuations [7][8]. - The phenomenon of companies inflating their valuations post-IPO has led to significant market volatility, with some stocks experiencing drastic declines shortly after listing [8][9]. Group 3: Future Outlook - Companies in the innovative drug sector are optimistic about their prospects, with many planning to increase their valuations in anticipation of future market conditions [9]. - There is uncertainty regarding when the current valuation bubble in the Hong Kong innovative drug sector will burst, as companies continue to chase inflated market expectations [9][10].