Hotgen Biotech Secures CSRC Approval for Sci-Tech Innovation Board IPO

This afternoon, VCBeat (WeChat: vcbeat) learned that the China Securities Regulatory Commission has approved Hotgen’s IPO registration on the STAR Market.

Hotgen is a high-tech biotechnology enterprise engaged in the research and development, production, and sales of in vitro diagnostic (IVD) reagents and instruments. Its main products are IVD reagents and instruments, which are primarily applied in clinical medical fields such as liver cancer and hepatitis, cardiovascular and cerebrovascular diseases, and inflammatory infections, as well as in public safety sectors including biosafety, food safety, and disease control and emergency response.

Hotgen’s core technologies include up-converting phosphor technology, glycan capture technology, magnetic microparticle chemiluminescence technology, gene recombination, and monoclonal antibody technology. Among these, the up-converting phosphor technology pioneered the application of up-converting phosphor materials (UCP) composed of rare-earth elements in clinical and biosafety fields. It was awarded the Second Prize of the National Technology Invention Award in 2015 and remains the only immunodiagnostic methodology in China to have received this honor.

Through years of continuous technological research and development, Hotgen has mastered single-test chemiluminescence and high-throughput chemiluminescence technologies. The company has successively developed small-, medium-, and large-scale fully automated chemiluminescence instruments and reagent products, establishing a comprehensive immunoassay diagnostic platform that meets the diverse needs of end users, ranging from rapid point-of-care testing (POCT) to automated, high-throughput testing in central laboratories.

In terms of disease categories, there are 16 reagents for hepatitis and liver cancer, 18 diagnostic reagents for cardiovascular and cerebrovascular diseases, and 8 diagnostic reagents for inflammation and infections. Other areas include tumor diagnosis, kidney injury, preterm birth, rheumatoid arthritis, and bone metabolism. Beyond the clinical field, Hotgen is also involved in public safety sectors such as bioterrorism countermeasures, food safety, and emergency response for disease control and prevention.

Hotgen's Main Business Revenue Table

During the reporting period, Hotgen’s main business revenue increased from RMB 122 million in 2016 to RMB 186 million in 2018. The majority of sales came from diagnostic reagents, which accounted for 85.62% of total revenue. Revenue from diagnostic instruments reached RMB 21.68 million, representing a significant increase compared with 2016 and 2017. Moreover, Hotgen’s net profit in 2018 was RMB 48.19 million, indicating a strong profit margin relative to its operating revenue.