Good News on Listing | Frost & Sullivan Assists Shanghai Baoji Pharmaceutical Co., Ltd. to Successfully List on the Hong Kong Stock Exchange (2659.HK)

Shanghai Baoji Pharmaceutical Co., Ltd. (hereinafter referred to as 'Baoji Pharmaceutical') was successfully listed on December 10, 2025, with a global issuance of 37,911,700 shares at an issue price of HK$26.38 per share.

During the process of listing in Hong Kong this time, Frost & Sullivan mainly undertook the following tasks: helping the issuer accurately and objectively understand its positioning in the target market, using objective market data to discover, support and highlight the issuer's competitive advantages, assisting the issuer, investment banks, and other intermediaries in completing the writing of relevant parts of the prospectus (such as overview, competitive advantages and strategy, industry overview, business, and other important chapters), helping the issuer complete communication with the Hong Kong Stock Exchange and investors, assisting investors in quickly understanding the market ecosystem and competitive landscape, and providing assistance to the issuer in completing feedback on various industry-related issues from the Hong Kong Stock Exchange, etc.

Frost & Sullivan has always been a leader in helping companies go public in Hong Kong. According to LiveReport's big data (statistical data as of September 30, 2025), from January to September 2025, and during the past 12 and 36 months, Frost & Sullivan provided listing industry advisory services for 47 (market share 72%), 62 (market share 69%), and 162 (market share 70%) Hong Kong IPOs respectively, ranking first in terms of number. It possesses rich industry experience and communication skills with regulatory authorities, exchanges, investment and financing institutions, and various related organizations.

• Baoji Pharmaceutical focuses its strategy on four high-growth potential therapeutic areas and has a differentiated portfolio of clinical-stage products. As of the latest practicable date, the company has built a pipeline comprising 12 independently developed research products, covering four strategic areas: large-volume subcutaneous administration, antibody-mediated autoimmune diseases, assisted reproductive drugs, and recombinant biological products. Among them, one of the core products, SJ02 (long-acting recombinant human follicle-stimulating hormone), has obtained NDA approval in China; the other two core products, KJ017 (recombinant human hyaluronidase) and KJ103 (recombinant IgG degrading enzyme), have entered the NDA registration or late clinical trial phase in China. In addition, the company's product KJ103 has received two breakthrough therapy designations from the National Medical Products Administration for kidney transplantation desensitization and anti-GBM disease.

   

• The company possesses an industry-leading synthetic biology technology platform and large-scale production capabilities, building core competitive barriers. The company has established an independent technical system centered around three cores: the drug design platform, chassis cell creation platform, and complete biomanufacturing platform, complemented by AI-driven protein drug design capabilities. The company has built a production base in Shanghai that meets GMP standards, covering an area of about 63,000 square meters, and is currently constructing an additional base of about 37,000 square meters, which is expected to be put into operation before June 2026. After the new facilities are operational, the total reactor volume will reach about 26,100 L, with annual production capacity expected to expand to about 22.5 million doses, possessing integrated and scalable end-to-end production capabilities.

   

• The company adopts a diversified business model of 'independent development + cooperation' and actively plans for global commercialization. The company's business model covers independent development, cooperative development, and excipient supply. In terms of the commercialization of core products, the company has entered into exclusive sales agency agreements with Anhui Anke Biotech to promote the commercialization of SJ02 in Greater China. At the same time, the company has signed technical agreements with partners such as Quanxin Biotech and Shangjian Biotech to jointly develop subcutaneous preparations. The company is implementing an overall development strategy of 'China-US/Europe', planning to further expand into major overseas markets after the commercialization of core products in China, and actively seeking cooperation opportunities with multinational pharmaceutical companies.

Subcutaneous tissue is mainly composed of fat, interspersed with capillaries and lymphatic vessels, supported by the extracellular matrix (ECM). Due to the presence of proteins and polysaccharides such as collagen, hyaluronic acid (HA), and chondroitin sulfate, it can act as a barrier for drug delivery. The ECM limits the subcutaneous injection volume to about 2 milliliters, posing a significant challenge for the delivery of high-dose biologics, especially anti-tumor monoclonal antibodies. Traditional solutions such as high-concentration preparations and multiple small-dose injections have many drawbacks, including increased protein aggregation, reduced efficacy, increased immunogenic risk, and increased patient burden. Hyaluronidase, by decomposing hyaluronic acid, increasing tissue permeability, and allowing for the diffusion of larger doses, has become an even more superior alternative. Its enzymatic action promotes drug absorption, reduces hematoma and edema, and prevents significant bulging during subcutaneous injections. Hyaluronidase overcomes the barrier of the ECM to enhance local drug delivery. The hyaluronic acid around the injection site returns within 24 to 48 hours without causing tissue damage or inflammation. The substrate specificity of hyaluronidase ensures that it does not interfere with co-administered drugs or proteins, making it a clinically safe and effective solution to address the limitations of subcutaneous drug delivery.

The development of hyaluronidase technology represents a major breakthrough in drug delivery systems. The technology was first discovered using animal-derived materials in 1929, and ENHANZE was launched in 2005.^®(Using the recombinant human hyaluronidase PH20 (rHuPH20) delivery platform), transformative progress has taken place in this field. This technology is significantly different from traditional animal-derived preparations, which are limited by safety issues and unstable efficacy. Recombinant human hyaluronidase is highly demanded and favored by patients for its ability to improve patient comfort, enhance drug delivery, reduce risks, shorten infusion time, and improve treatment efficiency. For example, compared to intravenous routes, subcutaneous injection with recombinant human hyaluronidase has a lower risk of bloodstream infection and can also eliminate venous damage that may occur from repeated intravenous injections.

Recombinant human hyaluronidase is a relatively new area of drug application with broad market potential, mainly concentrated in three strategic applications: monotherapy, combination with antibodies, and anticipated combination with conventional chemical drugs (especially antibiotics). Globally, the market for recombinant human hyaluronidase in all application areas (including monotherapy, combination with antibodies, and combination with conventional chemical drugs (especially antibiotics)) increased from $1.359 billion in 2019 to $7.99 billion in 2024, with a CAGR of 42.5%. It is expected to reach $10.563 billion by 2025 and $35.742 billion by 2029, with a forecast CAGR of 35.6% from 2025 to 2029, and further projected to reach $90.937 billion by 2033, with a CAGR of 26.3% from 2029 to 2033. The Chinese recombinant human hyaluronidase market is expected to increase from RMB 31.895 billion in 2029 to RMB 69.802 billion in 2033, with a CAGR of 21.6%.

Global market size of recombinant human hyaluronidase, 2019 - 2033E

Market Size of Recombinant Human Hyaluronidase in China, 2019 - 2033E

Data sources: annual reports, National Medical Products Administration, CDE, literature review, Frost & Sullivan analysis

Note: The first drug in this class was approved in 2021.

IgG is the most abundant type of antibody in blood and extracellular fluids, accounting for about 75% of serum immunoglobulins, and plays a key role in the immune response that recognizes and neutralizes pathogens such as bacteria, viruses, and toxins. IgG degrading enzymes are specific proteolytic enzymes that can rapidly and accurately cleave IgG antibodies. They typically target specific sites and break down IgG into F(ab')2 and Fc fragments, thereby locking in the root cause of pathological IgG activity. These enzymes neutralize pathological antibodies by cutting the Fc region of IgG and quickly control excessive immune activation, reducing the risk of inflammatory complications such as cytokine storms, organ damage, and chronic inflammation. The precise regulation of this immune response can be restored rapidly, and IgG degrading enzymes are promising therapeutic strategies for managing acute autoimmune disease attacks, antibody-mediated rejection during transplantation, and other high inflammations. IgG degrading enzymes also effectively reduce donor-specific antibodies (DSA) and prevent antibody-mediated rejection (AMR) in kidney and heart transplants.

IgG degrading enzymes have been explored for the potential in treating a variety of rare acute autoimmune diseases (including anti-glomerular basement membrane disease (anti-GBM disease), Guillain-Barré syndrome (GBS), and other autoimmune diseases). By degrading pathological IgG antibodies, they can reduce antibody-mediated tissue damage and disease severity. The global IgG degrading enzyme market is poised for significant growth, with the market size increasing from $1.7 million in 2021 to $13.2 million in 2024. It is expected that the value will reach $19.1 million by 2025, $31.06 billion by 2029, and $166.18 billion by 2033. The predicted CAGR from 2025 to 2029 is 257.3%, and from 2029 to 2033 it is 52.1%. With the expansion of products such as KJ103 to all kidney transplant patients and numerous acute autoimmune indications, clinical uses are about to expand beyond pre-transplant desensitization, and accessibility and pricing have improved compared to traditional agents. This accelerated growth is driven by a lower historical base, reflecting limited previously approved programs globally, which mathematically increases the recent CAGR. Especially in China, historical market promotion was limited by high prices and lack of local approvals. With the launch of KJ103, which provides better affordability and availability, rapid sales growth and steady improvement in penetration are expected to support the predicted growth.

Global IgG Degradase Market Size, 2021-2033E

Data source: Analysis by Frost & Sullivan

Follicle-stimulating hormone (FSH) is a glycoprotein hormone produced and secreted by the pituitary gland and plays a crucial role in human reproduction. It has the function of promoting female follicle maturation and male sperm formation, and is therefore widely used in the treatment of infertility and has become one of the important drugs for assisted reproduction. Currently developed FSH drugs can be divided into two types: urinary FSH and recombinant human FSH. Recombinant human FSH is made through genetic recombination technology and has better quality and efficacy than urinary FSH. Recombinant human FSH has long-acting FSH variants (improved FSH with prolonged half-life that works through structural changes such as glycosylation), requiring only one injection instead of daily injections, thereby improving treatment compliance and reducing the burden on patients.

Currently, there are mainly two forms of recombinant human FSH available on the market: short-acting FSH and long-acting FSH (dominated by FSH-CTP). Although these two forms have similar efficacy and safety profiles, there are differences in cost, duration of drug action, and other aspects. The innovative long-acting FSH-CTP formulation incorporates a CTP sequence, which can extend the half-life, thereby reducing the frequency of injections and improving patient compliance. This improved long-acting FSH-CTP administration method is particularly valuable for areas with limited medical resources, patients with limited self-injection experience, or those who need to travel long distances for treatment. In addition, short-acting FSH is available in liquid and powder formulations, while long-acting FSH-CTP is only provided as a liquid injection because it requires maintaining efficacy over a long period. This liquid formulation does not require reconstitution, providing greater convenience and avoiding potential dosage errors or incomplete dissolution (problems that are more likely to occur with short-acting formulations that require multiple precise injections and manual reconstitution), while ensuring higher bioavailability and stability. Therefore, there is a significant demand in China for transitioning from short-acting FSH products to long-acting FSH products. With the advancement of production technology, the cost of FSH-CTP is expected to decrease, further enhancing its market prospects.

In China, the FSH market increased from RMB 2.4 billion in 2019 to RMB 3.2 billion in 2024, with a CAGR of 5.7%. It is expected to reach RMB 38 billion in 2025, RMB 73 billion in 2029, and RMB 102 billion in 2033. The forecast CAGR from 2025 to 2029 is 17.3%, and from 2029 to 2033 is 10.2%. The market launch of long-acting FSH has been postponed to 2025 due to its complex technical requirements. For example, FSH-CTP requires precise control over binding sites and expression programs, while glycosylation patterns and cell culture parameters require complex manufacturing controls to ensure consistent product quality. The market scale of long-acting FSH in China is expected to be RMB 1 billion, RMB 12 billion, and RMB 36 billion in 2025, 2029, and 2033, respectively, with a CAGR of 86.1% from 2025 to 2029 and 30.8% from 2029 to 2033. Meanwhile, the short-acting FSH market reached RMB 2.4 billion in 2019 and RMB 3.2 billion in 2024, with a CAGR of 5.7% from 2019 to 2024, and is expected to reach RMB 38 billion in 2025 and RMB 61 billion in 2029, with a CAGR of 12.0% from 2025 to 2029 and is expected to reach RMB 66 billion in 2033, with a CAGR of 2.0% from 2029 to 2033.

China FSH Market Size, 2019 - 2033E

Source: Literature review, Frost & Sullivan analysis

Chymotrypsin, unlike other mammalian variants, is a special serine protease specifically adapted to the human digestive system. In its variant form, human chymotrypsin has become a valuable therapeutic enzyme, known for its anti-inflammatory and proteolytic effects, especially in reducing postoperative inflammation, promoting wound healing, and removing necrotic tissue. Recombinant human chymotrypsin technology involves obtaining the sequence, expressing the corresponding enzyme gene in a strain of Pichia pastoris, and then conducting large-scale fermentation culture. Recombinant human chymotrypsin is an ideal alternative to traditional animal-derived products, offering multiple advantages including higher purity, higher expression efficiency, a simplified production process, and eliminating the risk of animal-derived contaminants.

The Chinese trypsin market increased from RMB 700 million in 2019 to RMB 1.8 billion in 2024, with a CAGR of 21.3%. It is expected to reach RMB 2 billion by 2025, RMB 2.7 billion by 2029, and is estimated to further increase to RMB 32 billion by 2033, with a predicted CAGR of 7.8% from 2025 to 2029 and 5.1% from 2029 to 2033.

China's trypsin market size, 2019-2033E

Source: Literature review, Frost & Sullivan analysis

Frost & Sullivan, integrating 64 years of global consulting experience, has dedicated 27 years to serving the booming Chinese market with a global perspective. We assist clients in accelerating their business growth, achieving industry growth benchmarks, technological innovation, and leading positions. The healthcare industry is one of the core areas of focus for Frost & Sullivan. Over the past 20-plus years, the Frost & Sullivan team has provided financing and financial advisory services, IPO industry advisory services, strategic consulting, and management consulting to hundreds of outstanding domestic and international biopharmaceuticals, medical devices, healthcare services, and internet healthcare companies. Successful listings include: Polaris Cloud Medicine (NASDAQ: POM), Changfeng Pharmaceutical (2652.HK), Kingpharm (2595.HK), Health160 (2656.HK), Yinnuo Medicine (2591.HK), Zhonghuiyuan Tong (2627.HK), Dongguangyang Medicine (6887.HK), Weilizhibo (9887.HK), Bokang Shiyun (2592.HK), Yunzhisheng (9678.HK), TED Medical (3880.HK), Baize Medical (2609.HK), Yaojie Kang'an (2617.HK), Jiangsu Hengrui Medicine (1276.HK), Mire (2629.HK), Ying'en Biotech (9606.HK), Weisheng Pharmaceutical (2561.HK), Yasheng Pharmaceutical Group (NASDAQ:AAPG), Brain Motion Aurora (6681.HK), Health Road (2587.HK), Huahao Zhongtian (2563.HK), Yinosi (688710.SH), Jingtai Technology (2228.HK), Yimai Sunshine (2522.HK), Shenghe Biotech (2898.HK), Quanxin Biotech (2509.HK), Meizhong Jiahé (2453.HK), WuXi AppTec (2268.HK), Neusoft Xikang (9686.HK), Youzhiyou (2496.HK), Yiming Angke (1541.HK), Corent Bio (6990.HK), LaiKai Medicine (2105.HK), Lvgreen Biotech (2480.HK), Meis Health (2415.HK), PHECR, ZJYL, Meihua Tianyuan (2373.HK), Kangfeng Biotech (6922.HK), Bao'an Biotech (6955.HK), Sida Di (1244.HK), Meihao Medical (1947.HK), Gaoshi Medical (2407.HK), Lepu Xintai (2291.HK), Jianshi Technology (9877.HK), JCARE.SW, Lepu Medical (LEPU.SW), Dingdang Health (9886.HK), Bao'osai Tu (2315.HK), Zhiyun Health (9955.HK), Mein Gene (6667.HK), PRE.NASDAQ, Yunkang Group (2325.HK), Ruike Biotech (2179.HK), Lepu Biotech (2157.HK), Baxin An'An (2185.HK), Yonghe Medical (2279.HK), Kailai Ying (6821.HK), Beihai Kangcheng (1228.HK), Gusheng Tang (2273.HK), Yingpeng Technology (2251.HK), Minimally Invasive Robotics (2252.HK), Harmony Kamane (2256.HK), Xianruida (6669.HK), Kangsheng Global (9960.HK), Yimai Tong (2192.HK), Tengsheng Bopharm (2137.HK), Canopy (2162.HK), Chaoyu Ophthalmology (2219.HK), Guichuang Tongqiao (2190.HK), Hehuang Medicine (0013.HK), Koji Pharmaceutical (2171.HK), Zhaoke Ophthalmology (6622.HK), UPC.NASDAQ, Sain Pharmaceutical (6600.HK), Zhaoyan New Drug (6127.HK), ADAG.NASDAQ, Beikang Medical (2170.HK), Jianbimiao Miao (2161.HK), Minimally Invasive Xin Tong (2160.HK), Jiaosisi Pharmaceutical (1167.HK), HepB Pharm (2142.HK), JD Health (6618.HK), Deqi Medicine (6996.HK), Rongchang Biotech (9995.HK), WuXi AppTec (2126.HK), SinoBIO (2096.HK), Yunding Newray (1952.HK), Jiahe Biotech (6998.HK), Zai Ding Medicine (9688.HK), OuKang Weishi (1477.HK), Yongtai Biotech (6978.HK), Haipu Pharmaceutical (9989.HK), Kuaopei Pharmaceutical (9939.HK), Peijia Medical (9996.HK), Kangfang Biotech (9926.HK), Nuocheng Jianhua (9969.HK), IMAB.NASDAQ, Kanglong Chemical (3759.HK), China Antibody (3681.HK), Dongyao Pharmaceutical (1875.HK), Yasheng Pharmaceutical (6855.HK), Fuhong Hanlin (2696.HK), Hansoh Pharmaceutical (3692.HK), Mabo Pharmaceutical (2181.HK), Fangda Holdings (1521.HK), Via Biotech (1873.HK), CStone Pharmaceuticals (2616.HK), Junshi Biotech (1877.HK), WuXi AppTec (2359.HK), Xinda Biotech (1801.HK), Hualing Medicine (2552.HK), BeiGene (6160.HK), Gilead Sciences (1672.HK), WuXi AppTec (2269.HK), China Resources Medicine (3320.HK), Yajichen Scientific Research Pharmaceutical (2633.HK), HCM.NASDAQ, Kingsbridge Biotechnology (1548.HK), BBI Life Sciences (1035.HK), Tongyuan Kang Medicine (2410.HK), etc. In terms of the number of filings, the Frost & Sullivan healthcare team maintains an absolute leading position in Hong Kong's healthcare IPO market, consistently ranking first in market share from 2018 to 2023.

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. This includes: Biotech (688759.SH), Heyuan Biology (688765.SH), Hanbang Technology (688755.SH), Zhongyan Shares (688716.SH), Optics Technology (688450.SH), Jinghe Integration (688249.SH), Wuxi Rilian (688531.SH), Maolai Optics (688502.SH), Kangwei Century (688426.SH), Jinchuan Protein (688137.SH), Novogene (688428.SH), Aopu Medical (688293.SH), MicroPort Electrophysiology (688351.SH), Mengke Pharmaceutical (688373.SH), Yifang Biotech (688382.SH), Jicui Pharmaceutical (688046.SH), Haichuang Pharmaceutical (688302.SH), Rongchang Biotech (688331.SH), Rendu Biotech (688193.SH), Shouyao Holdings (688197.SH), Heyuan Biology (688238.SH), Yaxin Security (688225.SH), Xidi Micro (688173.SH), Mawei Biotech (688062.SH), Yahong Medicine (688176.SH), BeiGene (688235.SH), Jiahe Meikang (688246.SH), Dizhe Medicine (688192.SH), Novozyme (688105.SH), Chengda Biotech (688739.SH), Geke Micro (688728.SH), Huaxi Biotech (688363.SH), Junshi Biotech (688180.SH), Zhejiang Pharmaceutical (688266.SH), BeiGene (688177.SH), Shenzhou Cells (688520.SH), and others, which are considered to be 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 health industry, and build a healthy future.