Huarui Biotechnology to Lead IPOs Under Revived Shanghai STAR Market Standards

Wuhan Huarui Biotechnology Co., Ltd. is set to be the first company to apply for an initial public offering (IPO) under the newly reinstated fifth set of listing standards for the Shanghai Stock Exchange's Science and Technology Innovation Board (STAR Market). The review meeting is scheduled for July 1, 2025, marking the resumption of this standard, which was halted in 2023. This development comes after the China Securities Regulatory Commission (CSRC) announced the reintroduction of the fifth set of listing standards during the 2025 Lujiazui Forum.

Huarui Biotechnology is a biopharmaceutical company specializing in the development of innovative drugs. Its core product, HY1001, a recombinant human albumin injection, has completed Phase III clinical trials and is undergoing priority review by the National Medical Products Administration. If approved, HY1001 is poised to become the first recombinant human albumin drug in China. The company's other drug candidates are also in various stages of development, with six already in clinical research.

The fifth set of listing standards is designed to accommodate companies with complex products, high capital requirements, and long research and development cycles. It is particularly suited for biotechnology firms, which often face significant financial and technical challenges. The reinstatement of this standard is part of a broader effort to enhance the inclusivity and adaptability of China's capital market, aiming to better serve technological innovation and new productive forces while strengthening the protection of the legal rights of small and medium-sized investors.

Despite its technological advancements, Huarui Biotechnology has reported consecutive losses over the past three years. The funds raised from this IPO will be used for the construction of a recombinant human albumin industrial base, new drug development projects, and to supplement working capital. The reinstatement of the fifth set of listing standards is expected to provide a more supportive environment for innovative, high-tech companies seeking to raise capital, fostering a more dynamic and inclusive capital market in China.