13 pharmaceutical companies are mass entering the market, reaffirming biomedicine's new positioning as a pillar industry in emerging sectors

Recently, with the first batch of this year’s Stock Connect (Hong Kong Stock Connect) eligible listings on the Shanghai and Shenzhen exchanges taking effect, 42 newly listed Hong Kong “rising stars” have obtained southbound capital’s “entry tickets.” Among them, the biopharmaceutical sector has secured 13 seats, accounting for more than 30%, making it the most eye-catching feature of this expansion. Analysts believe that this adjustment is not only another optimization step for the interconnection and mutual access mechanism but also the most direct response and empowerment from the capital markets after the country clearly designated biopharmaceuticals as a new strategic pillar industry. Against the backdrop of southbound capital continuing to increase its investment in the Hong Kong market, this move injects valuable liquidity into biopharmaceutical technology companies that are still in the R&D investment stage and not yet profitable, signaling that the collaboration between the mainland and Hong Kong’s biopharmaceutical capital markets has entered a new stage where value discovery and industry enablement advance side by side. (China Securities Journal)