Core Viewpoint - Suzhou Wangshan Wangshui Biopharmaceutical Co., Ltd. successfully listed on the Hong Kong Stock Exchange, raising approximately HKD 587 million, marking a significant milestone for the company and enhancing its international presence [1][3]. Group 1: Company Overview - Wangshan Wangshui, established in 2013, is a comprehensive biopharmaceutical company focused on discovering, developing, and commercializing innovative small molecule drugs, particularly in the fields of neuropsychiatry, reproductive health, and viral infections [6]. - The company has developed a competitive and diversified pipeline of innovative drug products, with two products in the commercialization stage, four in clinical stages, and three in preclinical stages [3][6]. Group 2: IPO Details - The IPO of Wangshan Wangshui was highly successful, with a subscription rate of 6,238.42 times, ranking second in the healthcare sector and fourth overall among new listings on the Hong Kong Stock Exchange in 2025 [3][5]. - Citic Securities acted as the sole sponsor and played a crucial role in the IPO process, demonstrating its expertise in the biopharmaceutical sector [1][4]. Group 3: Product Development - The product "Mindewei®" received conditional approval from the National Medical Products Administration of China in January 2023 and transitioned to regular approval in January 2025 for the treatment of mild to moderate COVID-19 [6]. - The product "TPN171," marketed as "Angweida®," was approved in July 2025 for the treatment of erectile dysfunction in men [6]. Group 4: Industry Impact - Citic Securities is committed to supporting the health industry and has deepened its involvement in the medical and health sector, leveraging its comprehensive service capabilities to empower the capitalization of Chinese innovative pharmaceutical companies [4][5].

Core Viewpoint - The company Suzhou Wangshan Wangshui Biopharmaceutical Co., Ltd. is seeking to go public in Hong Kong with its second attempt, focusing on its two core products: a COVID-19 treatment and a new erectile dysfunction (ED) drug, amid significant financial losses and urgent need for capital [1][2]. Group 1: Company Overview - Founded in 2013, the company specializes in the discovery, development, and commercialization of innovative small molecule drugs, focusing on antiviral, neuropsychiatric, and reproductive health [5]. - The company has three notable products: LV232 (a potential first-in-class antidepressant), TPN171 (a potential best-in-class PDE5 inhibitor for ED), and VV116 (a COVID-19 treatment) [5][6]. Group 2: Product Analysis - LV232 is currently the only disclosed candidate drug in clinical stages targeting both 5-HTT and 5-HT3 receptors, indicating a lack of direct competition in this specific niche [6]. - The antidepressant market in China is competitive, with 24 innovative small molecule antidepressants approved and 16 in later clinical stages, suggesting a challenging environment for LV232 [7]. - The global market for PDE5 inhibitors is projected to reach $10.6 billion by 2024, with the Chinese market expected to grow from 5.5 billion yuan in 2018 to 9.3 billion yuan by 2024, reflecting a compound annual growth rate of 9.4% [8]. Group 3: Financial Performance - The company reported revenues of 200 million yuan in 2023, primarily from VV116, but saw a drastic decline to 11.83 million yuan in 2024, a 95% year-on-year decrease [11]. - By early 2025, revenues further decreased to 12.96 million yuan, with losses expanding to 112 million yuan, indicating severe financial strain [12]. - The sales of TPN171 (the ED drug) were minimal, with only 148,000 yuan in 2024 and 259,000 yuan in the first four months of 2025, highlighting the challenges in market penetration [13].