On the evening of June 15, Fosun Pharma (600196) issued an official announcement that its vaccine platform, Fosun A&T, had completed a new round of capital increase and share expansion, issuing an additional 11.4954 million shares to four investors at a price of RMB 84.21 per share, raising a total of RMB 968 million and implying a pre-investment valuation of RMB 7 billion. This is a key capital move in Fosun A&T’s preparation for a Hong Kong IPO, and it has also injected important momentum into the R&D and commercialization of its vaccine pipeline.I. A star-studded investor lineup: Fosun leads the round, with China Resources and Chengdu state-owned capital joining in
The investor mix in this capital increase is highly representative of the industry, underscoring the capital market’s long-term confidence in the vaccine sector:
• Fosun Pharma Industry (controlling shareholder): Invested RMB 550 million to subscribe for 6.5315 million shares, continuing to ramp up its core business
• Chengdu Guosheng Ceyuan Fund (local state-owned capital in Chengdu): Invested RMB 250 million to subscribe for 2.9689 million shares, holding 3.14%
• China Resources Pharmaceutical (Chengdu) Industrial Equity Investment Fund: Invested RMB 150 million to subscribe for 1.7813 million shares, holding 1.88%
• Shanghai Jingxu Rongxu: Invested RMB 18 million to subscribe for 213,800 shares, holding 0.23%
After the capital increase, Fosun Pharma Industry’s stake in Fosun A&T decreased slightly from 70.08% to 68.47%, and Fosun A&T remains a subsidiary included in Fosun Pharma’s consolidated financial statements. The introduction of China Resources-related capital and Chengdu local state-owned capital not only brought funding support to Fosun A&T, but more importantly established a diversified shareholder structure — China Resources’ channel resources in pharmaceutical distribution, as well as the industrial policy support of Chengdu Tianfu International Biotown, will provide important support for its future development and Hong Kong listing.
II. Clear use of funds: advancing R&D, production, and commercialization in parallel
According to Fosun Pharma’s official announcement, the RMB 968 million raised in this financing round will be used entirely for Fosun A&T’s day-to-day operations, with a focus on three areas: expanding the innovative R&D pipeline: continuing to increase support for clinical development of core pipeline products such as pneumonia vaccines and human diploid cell rabies vaccines building production bases: strengthening industrialized supply capacity and ensuring stable production capacity for marketed products marketing and commercialization investment: stepping up market expansion for rabies vaccines and influenza vaccines Fosun A&T, as the core vehicle of Fosun Pharma’s vaccine business, has integrated the business resources of the former Chengdu A&T and Dalian Yalifeng and has now formed a product portfolio covering three major areas: rabies, influenza, and pneumonia.
III. Operating status: cumulative losses of over RMB 170 million over two years, with continued increases in R&D spending
Behind the large financing lies the operating pressure Fosun A&T is currently facing. According to the unaudited financial data disclosed by the company:
• In 2025, revenue reached RMB 575 million, with a net loss attributable to shareholders of RMB 47.78 million
• In 2024, net loss was RMB 123 million, bringing the cumulative loss over the past two years to more than RMB 170 million
• As of the end of 2025, total assets were RMB 4.252 billion, with an asset-liability ratio of 47.76%
The main reason for the losses lies in the heavy R&D investment. Data show that from 2022 to 2024, Fosun Antigen’s R&D spending accounted for 45.01%, 80.95%, and 245.42% of revenue, respectively, with cumulative R&D investment over the three years exceeding RMB 700 million. For vaccine companies, this is a typical “high investment, long cycle” development model; before the product pipeline fully delivers value, losses are the norm in the industry.
IV. Product pipeline: pressure on marketed products, with pneumonia vaccines becoming the key battleground for the future
Marketed products: facing an intense price war
Fosun Antigen currently has 4 products approved for marketing:
• Human rabies vaccine (Vero cells)
• Freeze-dried human rabies vaccine (Vero cells)
• Trivalent influenza virus split vaccine
• Quadrivalent influenza virus split vaccine
But both core categories are facing fierce market competition:
• Influenza vaccine: Since 2024, the industry price war has intensified, and in May 2025 Fosun Antigen’s trivalent influenza vaccine won a Shenzhen public-funded procurement project at a bid price as low as RMB 8 per dose
• Rabies vaccine: More than 20 companies in China are involved, with leading players such as Chengda Biotech and Kanghua Biological holding the majority of market share
Pipeline under development: pneumonia vaccines are the key highlight
Fosun Antigen’s future growth momentum mainly comes from its clinical-stage pneumonia vaccine pipeline:
• 13-valent pneumococcal polysaccharide conjugate vaccine: In Phase III clinical trials, the core product closest to commercialization
• Lyophilized human rabies vaccine (human diploid cells): In Phase III clinical trials
• 24-valent pneumococcal polysaccharide conjugate vaccine: In Phase I clinical trials
• 23-valent pneumococcal polysaccharide vaccine: Clinical trial approval obtained
Among them, the 13-valent pneumococcal vaccine is a hundred-billion-yuan goldmine in China’s vaccine market, and products from companies such as Pfizer, Walvax Biotech, and CanSinoBIO have already been launched. If Fosun Antigen’s 13-valent vaccine is successfully approved, it will become the core value support for its 7 billion yuan valuation; the 24-valent pneumococcal vaccine, as a higher-valent upgraded product, represents a more long-term competitive strategy.
V. Hong Kong listing progress: This financing is a key preparation for the IPO
Fosun Antigen is preparing for a listing on the Main Board of the Hong Kong Stock Exchange, and this capital increase is an important pre-IPO move:
• In October 2025, Fosun Pharma first disclosed plans to spin off Fosun Antigen for a listing in Hong Kong
• In January 2026, the board of directors approved the spin-off proposal
• In February 2026, the extraordinary general meeting approved the spin-off listing-related resolutions
To support the listing process, the equity option originally granted to legacy shareholders during the 2021 acquisition has been terminated as of June 15, 2026 — but the agreement also stipulates that if the listing plan is substantially terminated, the option will automatically be restored. This clause not only reflects the confidence of all parties in the listing, but also imposes a clear timetable constraint on Fosun Antigen. Deng Yong, a professor of health law at Beijing University of Chinese Medicine, pointed out that this capital increase has multiple benefits for Fosun Antigen: it relieves cash flow pressure caused by continued losses, strengthens net assets, optimizes the equity structure, and reduces fundraising pressure during the IPO stage; at the same time, the large-scale capital injection by the controlling shareholder also underscores the group’s strategic emphasis on the vaccine sector and stabilizes market expectations.
Conclusion
With 968 million yuan in financing secured and a 7 billion yuan valuation confirmed, Fosun Antigen has taken another solid step on its path to a Hong Kong listing. Against the backdrop of intensifying homogenized competition and increasingly fierce price wars in the vaccine industry, whether Fosun Antigen can break into the premium vaccine market with core products such as the 13-valent pneumococcal vaccine will be the key to determining its long-term value. For Fosun Pharma, spinning off the vaccine business for an independent listing is both an inevitable choice to broaden financing channels and a strategic move to focus on core innovative businesses. Fosun Antigen’s subsequent listing progress and clinical pipeline developments will remain a focal point of industry attention.