After fifteen years of deep cultivation in the vaccine field, AB&B Bio Tech has accelerated on the path of differentiated innovation. Listed on the Hong Kong Stock Exchange in August, AB&B Bio Tech has fortified its competitive edge with core products such as its first quadrivalent subunit influenza vaccine covering all age groups from 6 months and above. Its Hong Kong IPO was oversubscribed by over 4,000 times. In a recent exclusive interview with China Securities Journal, An Youcai, Chairman and General Manager of AB&B Bio Tech, comprehensively detailed the company's product strategy, performance delivery logic, use of raised funds, and future development blueprint. He clarified that with "innovation-driven" as the core, the company aims to achieve a revenue target of RMB 2 billion by 2030 through capacity expansion and international布局, striving to join the top tier of domestic vaccine enterprises.

Differentiated Strategy Enhances Product Competitiveness

AB&B Bio Tech listed on the Hong Kong Stock Exchange on August 11 this year. The company focuses on the research and development, manufacturing, and commercialization of innovative vaccines and traditional vaccines that incorporate new technologies. Its core product, the quadrivalent influenza subunit vaccine (Huier Kangxin), was approved for marketing in September 2023 and received an expanded age indication approval from the National Medical Products Administration (NMPA) in September this year. Its applicable population was extended from individuals aged 3 and above to include those from 6 months and above, making it China's first subunit influenza vaccine covering the entire population aged 6 months and above. Currently, the company's two R&D centers and pilot-scale platforms in Shanghai and Taizhou are simultaneously advancing multiple vaccine pipelines, including viral vaccines, bacterial vaccines, conjugate vaccines, subunit vaccines, and mRNA vaccines.

Differentiated positioning is the core competitiveness of AB&B Bio Tech. An Youcai stated that since its inception, the company has established an innovation-driven development philosophy, rejecting simple replication and focusing on innovating based on the products of the four global pharmaceutical giants. Among the 13 vaccine candidates in its pipeline, 9 have received clinical trial approvals and are in Phase I, II, or III clinical stages, respectively.

Huier Kangxin is a typical representative of the company's differentiated advantage. An Youcai explained that, compared to Novartis's trivalent subunit influenza vaccine, Huier Kangxin is upgraded to a quadrivalent vaccine, referred to as a third-generation influenza vaccine. "This vaccine requires further purification on the basis of traditional split vaccines to extract effective antigens, with a purity requirement exceeding 85%, while ensuring good immunogenicity."

The current market retail price for Huier Kangxin is RMB 319 per dose, significantly higher than many similar influenza vaccine products on the market. Against the backdrop of intensifying price competition in the industry, the rationale behind its ability to maintain a higher price has attracted widespread market attention. "We have calculated that it takes the purification of five traditional split influenza vaccines to produce one subunit influenza vaccine. The complex process determines the product's cost base. The price of RMB 319 is precisely set based on these process characteristics and actual costs. However, as future production capacity increases, the product price is expected to decrease."

An Youcai noted that since its approval and market launch in September 2023, Huier Kangxin has demonstrated impressive commercial performance, generating over RMB 50 million in revenue within just three months of that year. 2024, as the first full year of commercialization, has seen revenue reach RMB 260 million. Revenue for 2025 is expected to exceed RMB 500 million, fully validating the product's commercial viability.

Striving to Join the Top Tier of Domestic Vaccine Enterprises

Regarding future development, An Youcai stated that AB&B Bio Tech has positioned "innovation-driven" as its strategic axis, supported by three key pillars: "quality leadership," "management efficiency," and overseas expansion. The company plans to achieve breakthroughs in both performance and industry standing through technological upgrades, capacity expansion, and international expansion.

In terms of innovation and R&D, An Youcai explained that the company adheres to a path of differentiation and generational upgrades. Following the launch of its core quadrivalent subunit influenza vaccine, the company continues to benchmark against global giants, exploring the development of a universal influenza vaccine capable of addressing annual strain variations. Research on its protection period and antibody persistence is ongoing. In the rabies vaccine field, the company employs human embryonic cells for development, differentiating itself from most industry players who use animal-derived cells. Humanized cells offer advantages in human adaptability and other aspects. Furthermore, the company is advancing the development of a shingles vaccine, a respiratory syncytial virus (RSV) vaccine, and globally innovative products like a monkeypox vaccine, all incubated on its proprietary technology platforms.

"The company primarily targets vaccine candidates not yet available globally," An Youcai stated. As early as five years ago, the company initiated the construction of an mRNA technology platform. It now possesses two mRNA product candidates—an mRNA RSV vaccine and an mRNA monkeypox vaccine—while also progressing the development of an mRNA combination vaccine targeting pathogens like RSV, influenza, and human metapneumovirus (hMPV). Additionally, the company has initiated development of therapeutic cancer vaccines for indications such as colorectal cancer and lung cancer, targeting more advanced biopharmaceutical fields.” Over the next five years, from AI-assisted sequence and conformational design to efficacy studies and concurrent clinical applications in China and the US, we aim to lay a comprehensive foundation for building an international company."

The use of proceeds from AB&B Bio Tech's Hong Kong IPO is clear and focused, centering on the industrialization of existing and innovative vaccines. "Approximately 30% of the funds will be allocated to the existing marketed product and the human diploid cell-based rabies vaccine project. On one hand, this will expand production capacity to increase the market share of the existing product, with its capacity and commercial potential expected to be fully realized by 2027, targeting revenue of around RMB 1 billion. On the other hand, it will advance the R&D of the human diploid cell rabies vaccine, planned for market launch in 2027."

He further elaborated that another approximately 30% of the funds will be used for the clinical development and industrial production of the shingles vaccine and subsequent projects. "The dedicated No. 2 and No. 3 park areas for the shingles vaccine are adjacent and contiguous. Civil construction is complete, and workshop and supporting inspection warehouse construction is underway, expected to be operational by February 2026. This vaccine will enter Phase III clinical trials in 2026, gradually moving towards industrialization."

Regarding international expansion, AB&B Bio Tech's plans have been in implementation for three years. An Youcai explained, "We first completed global market research, ultimately selecting parts of Southeast Asia, the Middle East, and Latin America as key expansion directions. We are currently collaborating with Walvax Biotech to advance product registrations in countries like the Philippines, Malaysia, Thailand, and Indonesia. Considering the high cost of overseas clinical trials, the raised funds are not allocated for that purpose, so we prioritize regions where products can be directly marketed."

An Youcai stated that the core reasons for choosing these regions are twofold. Firstly, the company is located in the Northern Hemisphere, and its existing capacity primarily produces strains for this hemisphere. It can utilize production downtime to manufacture strains for the Southern Hemisphere, achieving efficient capacity utilization. Secondly, internationalization is a core development strategy the company must advance. Besides promoting product exports, AB&B Bio Tech's business development (BD) projects are also progressing.Our monkeypox vaccine is in BD-related discussions in Africa and is expected to materialize in 2026.
An Youcai outlined the company's short-term and medium-to-long-term development goals: profitability is expected by 2026. By 2030, the company aims to achieve total revenue exceeding RMB 2 billion. Specifically, in the domestic market, it seeks to solidify its foundation, join the top tier of domestic vaccine enterprises, and achieve the launch of 3-4 vaccine products. Overseas expansion will continue to strengthen the international operational infrastructure through product exports and BD project collaborations.

reference：https://finance.eastmoney.com/a/202512163592183447.html