April 7, 2022, from Guangzhou, GuangdongBaide Healthcare Investment Holdings Co., Ltd.Betters Medical Investment Holdings Limited (abbreviation”Baide Healthcare”) Submitted a prospectus to the Hong Kong Stock Exchange to IPO listing on the Hong Kong Main Board. This is another submission following the invalidity of its prospectus submitted on September 28, 2021.

Link to Baide Healthcare's prospectus:

https://www1.hkexnews.hk/app/sehk/2022/104343/documents/sehk22040701888_c.pdf

Main business

Established in 2012, Baide Medical is a leading developer and provider of microwave ablation medical devices for minimally invasive tumor treatment in China. The company's proprietary microwave ablation medical devices are used to treat benign tumors and malignant tumors, including thyroid nodules, liver cancer, lung cancer, and breast lumps.

According to Frost & Sullivan, Bader Healthcare is the first company in China to have a proprietary microwave ablation medical device specifically for treating thyroid nodules and successfully registered as a Class III medical device. It has obtained a Class III medical device registration certificate.

According to Frost & Sullivan, Bader Healthcare in terms of sales revenue in 2020:

• The largest supplier of microwave ablation medical devices for treating thyroid nodules and breast lumps in China;

• The third largest supplier of microwave-ablative medical devices in China

During the track record period, all of Baide Healthcare's revenue came from sales in China, and the products were eventually sold to hospitals for final consumption by patients. In FY2021, there were products from 303 hospitals in China's 22 provinces procuring products, of which 159 were top three hospitals.

Baide Medical's product supply and pipeline products mainly include microwave ablation therapy devices and microwave ablation needles used in conjunction with treatment devices.

Shareholder structure

According to the prospectus, Baide Healthcare's pre-listing equity structure was Ms. Wu Haimei as the controlling shareholder, and she held 59.95% of the shares.

Bank of China (601988.SH, 03988.HK) holds 8.32% of the shares through Bank of China International Investment;

Dr. Li Wanwei holds 1.74% of the shares through Meian;

China's Baoan (000009.SZ) indirectly owns 49.56% of China's venture capital CVC and holds 0.87% of the shares;

International Precision (00929.HK), holding 0.87% of the shares;

Yimeng Investment, Mr. Wu Zhilong, holds 0.86 shares through Weitian;

Wu Qiaowen and Gao Jianhui hold 4.63% of the shares through Brilliant Cut Limited;

Pang Guanghui holds 4.52% of the shares through Daily Charm Holdings Limited;

Chen Xiang holds 2.84% of the shares through Cheer Aim Investments Limited;

Ruzhou Borui Sunshine Enterprise Management Consulting Center holds 2.60% of the shares through Cosmic Discovery Limitd;

Xu Hangfeng and Mei Baofu hold 2.37% of the shares through Mighty Sino International Limited;

Ou Shouling holds 3.16% of the shares through Nation Hero International Limited;

Liu Si holds 1.63% of the shares through Pride Supreme Limited;

Zhang Jianlong holds 2.37% of the shares through Rainbow Avenue Limited;

Gao Chunsheng and Zhang Shufen hold 1.33% of the shares through Good Hero Global Limited;

Ruzhou Wanhua Enterprise Management Consulting Center holds 0.50% of the shares through Major Delight Limited;

Deng Bacon holds 0.44% of the shares through Success Avenue Limited;

Wei Cong holds 1.00% of the shares through Tiger Goal Limited;

Company performance

According to the prospectus, in 2019, 2020, and 2021, Baide Healthcare's revenue was RMB 85,029 million, RMB 1,18.287 million, and RMB 188.664 million respectively. The corresponding net profit was -4,961 million yuan, 466.92 million yuan, and RMB 74.857 million, respectively. The corresponding adjusted net profit was RMB 33.612 million, 51.97 million yuan, and RMB 83.617 million, respectively.

Intermediary team

Baide Healthcare's main intermediary teams for this IPO include: Bank of China International and Zhongtai International as its co-sponsors; Lixin Dehao as its auditors; Guangdong Jundao and Li Zhichong are their company's Chinese lawyers and corporate Hong Kong lawyers respectively; Kim Du as their brokerage firm's Chinese lawyers; Chung (Deheng Joint Venture) and King Du (HK) as its brokerage firm Hong Kong lawyers; and Frost Sullivan as its industry advisors.