Core Viewpoint - Nantong Lianya Pharmaceutical Co., Ltd. (Lianya Pharmaceutical) is facing significant challenges in its IPO journey, having previously attempted to list on the Sci-Tech Innovation Board and now shifting to the ChiNext Board, despite showing impressive revenue and net profit growth over the past three years. However, underlying issues such as product dependency, governance stability, and independence concerns are evident [1][10]. Financial Performance - Lianya Pharmaceutical reported revenues of 700 million yuan, 866 million yuan, and 441 million yuan for the years 2023, 2024, and the first half of 2025, respectively, with year-on-year growth rates of 27.33% and 23.67% for 2023 and 2024 [2][11]. - The net profit attributable to the parent company for the same periods was 116 million yuan, 260 million yuan, and 103 million yuan, with growth rates of 2.47% and 124.68% for 2023 and 2024 [2][11]. Product Dependency - Lianya Pharmaceutical's core business focuses on the research, production, and sales of complex drug formulations, with a significant reliance on its main product, Metoprolol Succinate Extended-Release Tablets, which accounted for approximately 54.69% of revenue in the first half of 2025, showing a trend of increasing dependency [2][11][12]. Market Dynamics - The company has faced a challenging pricing environment in the U.S. market, where its flagship product is caught in a cycle of price reductions, unstable market share, and negative revenue sharing, leading to losses of 11.03 million yuan in 2023 and 12.80 million yuan in 2024 [5][14]. - Despite a rapid increase in domestic revenue due to centralized procurement, foreign sales still represented a significant portion of total revenue, accounting for 58.41% in the first half of 2025 [4][13]. Governance and Control Issues - Recent changes in control structure, including the death of a key controlling shareholder and the cancellation of special voting rights, have raised concerns about governance stability and the potential for control disputes, especially as external shareholders now hold a significant influence over the company [7][9][16]. - The top ten external shareholders have complex relationships, with the second-largest shareholder holding 20.61% and combined holdings exceeding that of the controlling shareholder, indicating a potential alignment of interests that could impact governance [8][17].

Core Viewpoint - Nantong Lianya Pharmaceutical Co., Ltd. has received acceptance for its IPO on the ChiNext board, entering the inquiry stage, with CICC as the sponsor. The company focuses on the research, production, and sales of complex drug formulations, primarily targeting hypertension and coronary heart disease, with significant market share in the U.S. [1][5] Financial Performance - The company projects revenues of 866 million yuan and net profits of 260 million yuan for 2024, with historical revenues of 550 million yuan in 2022 and 700 million yuan in 2023 [3][4]. - Cumulative net profits for 2022, 2023, and 2024 are expected to be 113 million yuan, 116 million yuan, and 260 million yuan respectively [3][4]. IPO Financing and Project Allocation - The IPO aims to raise 950 million yuan, allocated as follows: 306 million yuan for production base construction, 266 million yuan for R&D center construction, 328 million yuan for drug research projects, and 50 million yuan for working capital [1][2]. R&D Investment - The company has invested a total of 293 million yuan in R&D over the past three years, with annual R&D expenditures of 103 million yuan in 2022, 88.73 million yuan in 2023, and 120 million yuan in 2024 [6]. - The R&D expense ratio for the same years was 18.70%, 12.67%, and 11.74%, compared to industry averages of 20.99%, 20.13%, and 18.64% [6]. Market Position and Product Portfolio - The company has a strong presence in the U.S. market, with several products ranked first in market share, including sustained-release formulations of Nifedipine and Diltiazem [5][6]. - The product pipeline includes 45 generic drug projects and 2 improved new drug projects, with 44 self-developed products approved by the FDA [6]. Shareholding Structure - Lianya Cayman directly holds 22.62% of the company's shares, making it the controlling shareholder. The actual controllers collectively hold 29.50% of the shares [7].