Connaughty Biotech Co., Ltd. (Stock Code: 02162.HK) successfully listed on the Main Board of the Hong Kong capital market on July 8, 2021. The company was established in 2016 and is a biotech company focusing on the development of innovative biologics in the fields of autoimmune and oncology treatments. Its core product, CM310, is an antagonist antibody against interleukin-4 receptor α subunit (IL-4R&alpha), used for the treatment of multiple allergic diseases such as moderate to severe atopic dermatitis (AD), moderate to severe eosinophilic asthma, chronic rhinosinusitis with nasal polyps (CRSwNP), and potential chronic obstructive pulmonary disease (COPD). In addition, the company's pipeline includes eight other candidate drugs in different stages of development, five of which are clinical-stage candidates and three are in the phase suitable for application to clinical trials. Frost & Sullivan provides exclusive industry advisory services for Connaughty Biotech Co., Ltd.'s listing on the Hong Kong market, and we warmly congratulate them on their successful listing.
Connaughty Genetics Biotechnology Co., Ltd. (hereinafter referred to as 'Connaughty Genetics') successfully went public on July 8, 2021, with a global issuance of 58,264,500 shares at a price of HK$53.3 per share, raising approximately HK$3.11 billion. Frost & Sullivan (Frost & Sullivan, hereinafter referred to as 'Frost & Sullivan') provided exclusive industry advisory services for Naughty Genetics' listing and hereby warmly congratulates it on its successful listing.
During the Hong Kong listing process, Frost & Sullivan mainly undertook the following tasks: helping the company accurately and objectively understand its positioning in the target market, using objective market data to discover, support, and highlight the company's competitive advantages, assisting the company, investment banks, and other intermediaries in completing relevant parts of the prospectus (such as the overview, competitive advantages and strategy, industry overview, business, and other important sections), facilitating communication with the Hong Kong Stock Exchange and investors, helping investors quickly understand the market ecosystem and competitive landscape, and assisting the company in completing feedback on various industry-related issues from the Hong Kong Stock Exchange.
Overview of IL-4Rα
The interleukin 4 receptor (IL4R), also known as CD124, IL4R&alpha, and BSLF receptor, is a type I cytokine receptor produced by activated Th2 cells and mast cells. It plays an important role in Th2 immune responses, macrophage activation, mucosal immunity, allergic inflammation, tumor progression, and the development of atherosclerosis. According to Frost & Sullivan reports, the first IL-4R&alpha drug, dupilumab, was approved in 2017, and its sales increased significantly to $4 billion in 2020. With the expansion of indications and future approvals for drugs targeting the same target, the global market size for IL-4R&alpha targeted drugs is expected to reach $122 billion and $287 billion in 2024 and 2030 respectively.
Global Market for IL-4Rα Targeted Drugs, 2017 - 2030E
Source: Frost & Sullivan report
According to a Frost & Sullivan report, the first IL-4Rα drug dupilumab was approved by the NMPA in 2020 and was included in the medical insurance catalog that same year. With the launch of innovative drugs in China and the expansion of indications, the Chinese market will grow rapidly. The market size of IL-4Rα targeted drugs in China is expected to reach $610 million and $4.08 billion in 2024 and 2030, respectively.
IL-4Rα targeted drug market in China, 2020-2030E
Source: Frost & Sullivan report
Overview of Atopic Dermatitis Medication Market
In recent years, the global market size for atopic dermatitis drugs has grown rapidly, increasing from $4.4 billion in 2015 to $7.9 billion in 2019. Driven by dupilumab and other targeted drugs, the market size will reach $17.3 billion by 2024 and $23.4 billion by 2030. At the same time, the market size in China will also grow rapidly, reaching $6 billion in 2019 and is expected to increase to $1.5 billion by 2024, with an annual compound growth rate of 22.6%. It is estimated that it will reach $43 billion by 2030.
Global Atopic Dermatitis Medication Market, 2015-2030E
Source: Frost & Sullivan report
China Atopic Dermatitis Medication Market, 2015 - 2030E
Source: Frost & Sullivan report
Overview of the Asthma Medication Market
Driven by a huge potential patient population, the global asthma drug market is expected to reach $385 billion and $500 billion in 2024 and 2030, respectively. In recent years, with the improvement in drug accessibility and patient affordability in China, the asthma drug market has grown rapidly. From 2019 to 2024, the market size of asthma drugs increased from $3.2 billion to $5.6 billion, with a compound annual growth rate of 11.8%. It is expected to reach $97 billion by 2030.
Global Asthma Medication Market, 2015-2030E
Source: Frost & Sullivan report
China's Asthma Medication Market, 2015 - 2030E
Source: Frost & Sullivan report
Frost & Sullivan, integrating 60 years of global consulting experience, has dedicated 23 years to serving the booming Chinese market with a global perspective, helping clients accelerate their business growth and achieve industry-leading benchmarks in terms of growth, innovation, and leadership. The healthcare industry is one of the core areas of focus for Frost & Sullivan. Over the past sixteen years, the Frost & Sullivan healthcare team has provided financing financial advisory, IPO industry advisory, strategic consulting, management consulting, and other services to hundreds of outstanding domestic and international biopharmaceuticals, medical devices, healthcare services, and internet healthcare companies. Successful listings include: Chaoyu Eye Hospital (2219.HK), Guichuang Tongqiao (2190.HK), Huihuang Medicine (0013.HK), Koi Pharmaceutical (2171.HK), Zhaoke Eye Hospital (6622.HK), Nature Medicine (UPC.NASDAQ), Sain Bio (6600.HK), Zhaoyan New Medicine (6127.HK), Novogene Health (6606.HK), Tianyan Pharmaceutical (ADAG.NASDAQ), Beikang Medical (2170.HK), Jianbimiao Miao (2161.HK), Minimally Invasive Cardiac Therapy (2160.HK), Rui Li Medical Beauty (2135.HK), Jiaosisi Pharmaceutical (1167.HK), HepB Pharmaceutical (2142.HK), JD Health (6618.HK), Deqi Pharmaceutical (6996.HK), Rongchang Biotech (9995.HK), WuXi AppTec (2126.HK), Siasun Pharmaceutical (2096.HK), Yunding New Energy (1952.HK), Jiahe Biotech (6998.HK), Zai Ding Pharmaceutical (9688.HK), Ocumvix (1477.HK), Yongtai Biotech (6978.HK), Hapre Pharmaceutical (9989.HK), Kepeng Pharmaceutical (9939.HK), Peijia Medical (9996.HK), Kangfang Biotech (9926.HK), Novogene Health (9969.HK), Tianjing Biotech (IMAB.NASDAQ), Kanglong Chemical (3759.HK), China Antibody (3681.HK), Dongyao Pharmaceutical (1875.HK), Yasheng Medicine (6855.HK), Fuhong Hanlin (2696.HK), Hansoh Pharmaceutical (3692.HK), Mabotech (2181.HK), Fangda Holdings (1521.HK), Via Biotech (1873.HK), CStone Pharmaceuticals (2616.HK), Junshi Biosciences (1877.HK), WuXi AppTec (2359.HK), Innovent Biologics (1801.HK), Hailun Medicine (2552.HK), BeiGene (6160.HK), Gilead Sciences (1672.HK), WuXi AppTec (2269.HK), China Resources Pharmaceutical (3320.HK), Yakuten Scientific Research Pharmaceutical (2633.HK), Huihuang China Medicine (HCM.NASDAQ), Biotechnology (1548.HK), BBI Life Sciences (1035.HK), and others. In terms of the number of filings, the Frost & Sullivan healthcare team maintains an absolute leading position in Hong Kong's healthcare IPO market, continuously occupying more than 90% of the market share from 2018 to 2020.
Since the listing of the first batch of companies on the Sci-tech Innovation Board in July 2019, Frost & Sullivan reports have been widely cited in the prospectuses of leading Sci-tech Innovation Board-listed companies in the industry, including: Huaxi Biotech (688363.SH), Junshi Biosciences (688180.SH), Zhejiang Genomics & Biotechnology Co., Ltd. (688266.SH), Bio-Thera (688177.SH), and Shenzhou Cells (688520.SH). It is considered one of the most powerful, professional, and influential industry research institutions in the sector. We hope to work with enterprises to understand industry trends, seize development opportunities, jointly promote innovation and upgrading of China's healthcare industry, and build a healthy future.
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