Analysis of Xintong Pharmaceutical's Secondary IPO Fundraising

Based on the latest collected information, I will conduct a systematic analysis of your question:

Xintong Pharmaceutical (Xi’an Xintong Pharmaceutical Research Co., Ltd.) is undergoing its second IPO application on the STAR Market. According to the prospectus, the planned fundraising amount for this IPO is

, a reduction of approximately compared to the target of the previous IPO [1].

, with the specific breakdown as follows:

• New Drug R&D Projects: RMB 500 million
• Construction Project of Industrial Production Base for Innovative Drugs: RMB 200 million
• Supplementary Working Capital Project: RMB 200 million [1]

1. Changes in Market Environment
   : Since 2025, IPO reviews for the pharmaceutical industry have become stricter, coupled with fluctuations in the overall capital market, leading to widespread valuation pressure on pharmaceutical companies

2. Company Fundamental Factors
   :
   • The company has sustained losses from 2022 to 2024 and the first half of 2025, with net attributable profits of -RMB 53.871 million, -RMB 62.2925 million, -RMB 79.3555 million, and -RMB 13.2036 million respectively
   • As of the end of June 2025, the accumulated deficit is approximately RMB 346 million [1]

3. Decline in R&D Investment
   : R&D expenses in 2024 plummeted from RMB 62.096 million in 2023 to RMB 26.0841 million, a decrease of over 58% [1]

: Based on the collected information, , but the core product of . Changshan Pharmaceuticals’ Ibetenatide is a GLP-1 receptor agonist used for the treatment of type 2 diabetes, and its clinical application for weight loss indication was approved in June 2025 [2].

Xintong Pharmaceutical’s core product is

, which was approved for marketing in October 2024 for the treatment of hepatitis B [1].

Although Ibetenatide is not a product of Xintong Pharmaceutical, in terms of IPO valuation for pharmaceutical companies, the following factors will affect the valuation judgment of the secondary IPO:

1. Positive Factors
   :
   • Core product has been launched and started sales (sales commenced in December 2024)
   • Meets the 5th set of listing criteria for the STAR Market (expected market value of no less than RMB 4 billion)
   • Has multiple product pipelines in research in the field of liver diseases

2. Negative Factors
   :
   • The company has not yet achieved profitability
   • The sharp decline in R&D expenses may impact the market’s confidence in the company’s innovation capabilities
   • The overall valuation environment for the pharmaceutical industry is currently under pressure

[1] Sina Finance - “Fundraising Target Reduced, Losses Persist: Xintong Pharmaceutical Reapplies for STAR Market IPO” (https://finance.sina.com.cn/jjxw/2026-01-05/doc-inhfeknh7268991.shtml)

[2] Eastmoney.com - Research Materials Related to Ibetenatide (https://gbres.dfcfw.com/Files/iimage/20250610/92642BF97531CA7D97880570E0392879_w554h254.png)