Facebook Twitter 新浪微博 google plus Instagram YouTube Thursday 12 November 2015

Wenzhou-based mental health hospital ready to jump in HK IPO

By Yao Xinyu (People's Daily Online)    13:26, November 12, 2015
Wenzhou-based mental health hospital ready to jump in HK IPO
Wenzhou Kangning Hospital. (Photo/cnfol.com)

A mental health hospital in Wenzhou has announced its plan to list on the Hong Kong stock market. Some experts note that the scarcity of such hospitals may lead to an open plunder, making it a hit on the HK stock market.

Wenzhou Kangning Hospital is a high-end private mental hospital with a wide range of facilities and pleasant environment. From Jan. 1 to June 30 of 2015, its main incomes from treatment and medical services reached 112 million yuan, making up 69.6 percent of the hospital’s total income. Its second largest income is from sales of medication, which ran to 42.23 million yuan and 26.3 percent of the total. By the end of June, the gross profit margin of Wenzhou Kangning Hospital was 40.6 percent.

Starting Nov. 10, Wenzhou Kangning Hospital began to raise capital by floating shares, planning to sell 17.6 million shares at a price range of HK$32.10-HK$38.70 ($4.14 to $4.99) each. It is expected to be inducted for trading on Nov 20. With an “admission fee” of 3,909 HK dollars, its share price is low-threshold for investors. The chairman of Kangning Hospital Guan Weili notes that even though the Hong Kong market is not very stable at the moment, Wenzhou Kangning Hospital, as one of the top mental medical groups, is very confident in its performance on the capital market.

In China, 180 million people - or one in eight - have a mental illness. A Frost & Sullivan Report reveals that in 2014, Wenzhou Kangning Hospital is the largest private mental medical group in China, ranked second in the Chinese mental medical market. To cater to current market needs, experts predict that private mental hospitals will play a more important role day by day. 

(For the latest China news, Please follow People's Daily on Twitter and Facebook)(Editor:Yao Xinyu,Liang Jun)

Add your comment

Related reading

We Recommend

Most Viewed


Key Words