By Fineline Cube Shanghai Rongsheng Biotech Co., Ltd is preparing to conduct an initial public offering (IPO) of 25.5 million shares on the Shanghai Stock Exchange’s Sci-Tech Innovation Board (STAR). The transaction is expected to raise approximately RMB 1.25 billion (USD 171 million). The funds will be allocated toward the research and development (R&D) of several vaccines, including the Vero cell human rabies vaccine, MRC-5 cell human rabies vaccine, influenza virus split vaccine, and pneumonia vaccine. Additionally, the proceeds will support facilities expansion, R&D of point-of-care testing (POCT) diagnostic reagents, and the varicella-zoster vaccine.
Company Capabilities and Technology Platforms
Rongsheng Bio boasts a range of capabilities and technology platforms in the vaccine and in vitro diagnostic (IVD) reagents fields. These include cell factory culture technology, large-scale cell culture technology, large-scale virus purification technology, vaccine preparation technology, enzyme-linked immune technology, automated agglutination reaction test technology, and dry fluorescent technology platforms. The company’s IVD reagents segment covers ELISA, agglutination reaction, biochemical diagnosis, colloidal gold method, and more.
Market Position and Business Strategy
Currently, Rongsheng Bio has only one product on the market: its live attenuated varicella vaccine, which is approved for patients aged 12 months to 12 years. The vaccine generated RMB 215 million (USD 29.4 million) in sales in 2021, accounting for 82.05% of the company’s total revenues. Looking ahead, Rongsheng Bio plans to expand its vaccine and immunodiagnostic reagent businesses while scaling back its biochemical diagnostic reagent business. Revenues from the biochemical diagnostic reagent business have declined from RMB 19.54 million (USD 2.6 million) in 2019 to RMB 6.98 million (USD 955,365) in 2021.-Fineline Info & Tech