The second-tier capital is not the only one concerned.Tesla、PingduoduoAnd other technology enterprises, the medical sector is also becoming a new position for the influx of capital.
Genetron Holdings Limited, which landed in US stocks in late June, welcomed Lianyang as of July 20, Beijing time, and has risen more than 40 per cent since July. Behind the sharp rise in Genetron Holdings Limited's market value, it reflects China.Accurate medical treatmentThe change of the territory.
As Genetron Holdings Limited, Burning Rock Biotech Ltd. and other precision medical head enterprises have opened the road to listing in the United States, it not only means that China's cancer precision medical care is increasingly stepping into the world stage, but also means that China's precision medical business map may be reconstructed.
Catch up with the tide of American stocks
In the first half of this year, the COVID-19 epidemic swept the world, superimposed.LUCKN COFFEE DRCDue to the impact of financial fraud, the US stock market is more cautious about the investment of US-listed stocks. Some unlisted new economy enterprises choose to IPO in the mainland and Hong Kong markets, and some Chinese companies also return to Hong Kong for secondary listing. However, there are still some retrograde people who continue to list in the United States, including high-tech companies such as Kingsoft Cloud Holdings and Sheng.com, Burning Rock Biotech Ltd., Genetron Holdings Limited and so on.biotechnologyThe company has successively started a journey to land in the US stock market.
In June this year, Genetron Holdings Limited was successfully listed in the United States, and the global IPO scale record of cancer precision medicine was officially refreshed. This time, IPO Genetron Holdings Limited issued a total of 16 million American depositary shares (ADS) at a public offering price of US $16 each, raising a total of about US $260 million (before green shoes), resulting in the largest cancer precision medical company listing project in global history (before green shoes).
From the perspective of industrial comparison, Genetron Holdings Limited is a leading cancer precision medical company in China, focusing on the research and application of cancer genomics, and is committed to changing cancer diagnosis and treatment based on advanced molecular biology and big data's analytical ability. Data show that Genetron Holdings Limited has created a comprehensive product and service pipeline, ranging from early cancer screening to diagnosis and treatment recommendations, to monitoring and prognosis management of cancer cycle. At present, Genetron Holdings Limited has completed the layout of three major business areas: cancer early screening, diagnosis and monitoring, and drug research and development services.
Under the influence of multiple factors, the performance of Genetron Holdings Limited stock price is mediocre at the beginning of listing. But since July, the company's shares have quietly risen more than 40% in a row. From a fundamental point of view, Genetron Holdings Limited has maintained a relatively rapid growth trend. Data show that Genetron Holdings Limited's operating income increased rapidly from 101 million yuan to 323 million yuan in the three years from 2017 to 2019, with an average growth rate of nearly 80 per cent. In the first quarter of 2020, despite the impact of the epidemic, revenue and gross profit also maintained year-on-year growth. As of March 31, 2020, Genetron Holdings Limited's revenue was 76.84 million yuan, an increase of 15.3% over the same period last year.
If Genetron Holdings Limited is dismantled, it can be compared and considered from the bidding enterprises on the same track. For example, oundation Medicine is one of the first gene testing companies to apply second-generation sequencing technology (NGS) to cancer clinical diagnosis and treatment, and has launched FoundationOne CDx, the world's first pan-cancer large Panel product approved for clinical application.Foundation MedicineIt was listed on Nasdaq in 2013 and was listed in 2018.RochePharmaceutical mergers and acquisitions. The price of the deal is $137 per share, valuing the company at $5.3 billion.
Compared with Foundation Medicine, the services and products developed by Genetron Holdings Limited cover eight of the top 10 high incidence cancer species in China, and its Onco PanScanTM is expected to become the first approved "FoundationOne CDx" in China because of its excellent performance. In terms of IVD products, Genetron Holdings Limited has 7 IVD products approved by NMPA for clinical use.Leading industryAnd covers three major technology platforms: NGS, dPCR and qPCR. It can be said that Genetron Holdings Limited has walked out of his own unique business route by virtue of the "LDT+IVD" double-track parallel business model.
In 2014, another American company, Guardant Health, launched the first commercial blood cancer screening product, Guardant360 ®, which can detect genetic mutations in tumors through blood, and it will take doctors only two weeks to get the results. In contrast, Genetron Holdings Limited also has mature fluid biopsy products in peripheral blood, while developing innovative technologies in more liquid samples, such as cerebrospinal fluid and urine, to achieve non-invasive or minimally invasive fluid biopsies for more cancers. Applied to clinical diagnosis and monitoring of cancer.
In the field of cancer early screening, Genetron Holdings Limited's template is Grail. Grail was acquired at the beginning of its establishment.Illumina IncOh, Bill. Gates, Jeff. Bezos and others have jointly invested 100 million US dollars and have always held the halo of star companies all the way. GRAIL uses comprehensive targeted panel and ultra-deep sequencing strategies to analyze blood samples, focusing on the heterogeneity or diversity of cfDNA patterns between healthy people and patients with different stages and types of cancer. In May 2019, the multi-cancer early detection product released by GRAIL has been approved by FDA as a breakthrough product. In terms of the potential of the capital market, GRAIL's primary market is currently valued at about US $3.2 billion, making it a biotech "unicorn".
Layout reconstruction
In fact, in addition to Genetron Holdings Limited, Burning Rock Biotech Ltd. and other companies have also recently landed in the United States and the stock price of the active performance of precision medical Chinese stocks. Burning Rock Biotech Ltd. 's share price also rose in a row in the first and middle of June, rising nearly 50 per cent in a short period of time.
Precision medical companies encounter financial hunting, reflecting the nature of the blue ocean of the industry. Cancer is the second leading cause of death in China. The total number of new cancer patients in China reached 4.3 million in 2018 and is expected to reach 4.9 million by 2023. Early detection of tumors can greatly increase the chances of successful treatment for patients, so the market prospect of early tumor screening in China is huge.
From the perspective of capital market, according to the past performance, thanks to the deepening of China's medical reform and the broad development prospects of the medical market, the stock prices of Chinese biotechnology companies listed on NASDAQ are mostly positive. ToBeiGene, Ltd.For example, within more than two years of listing in the United States, the share price has risen from $24 to a peak of more than $160. the market capitalization of US stocks has risen nearly sixfold to nearly $13 billion. Both listed companies and American investors have reached a win-win situation.
From 2017,BGI geneIn the A-share listing, the development of precision medicine in the Chinese market began to receive more and more attention. However, there are many challenges not only in the technical ability of accurate medical care, but also in the interpretation and treatment of technical results. With the successful listing and financing of Genetron Holdings Limited and other precision medical head enterprises, various head enterprises will not only compete for market capitalization in the sea of capital, but also mean the reconstruction of the industrial territory for many small enterprises that have not yet docked their capital.