Shenzhen Mindray Bio-Medical Electronics Co., Ltd. (Mindray) submitted an application to the Hong Kong Stock Exchange on November 10 for a secondary listing of foreign shares. The raised funds are intended for global R&D investments, expanding digital healthcare ecosystems, exploring potential global acquisitions and partnerships, and enhancing global sales networks and supply chain capabilities.
The anti-corruption campaign in China's medical device sector has significantly impacted Mindray's short-term operations. By 2025, the company's performance decline became more pronounced, with Q1-Q3 revenue dropping 12.38% YoY to RMB 25.83 billion and net profit attributable to shareholders plunging 28.83% to RMB 7.57 billion. Domestic revenue in H1 2025 fell 33.38% to RMB 8.41 billion, shrinking its contribution from nearly 60% to about 50% of total revenue. The company's three core businesses—patient monitoring, in-vitro diagnostics, and medical imaging—all experienced declines.
Founded in 1991 in Shenzhen, Mindray initially specialized in patient monitors and later expanded into three major product lines, along with four emerging businesses including minimally invasive surgery and orthopedics. Its products are sold in over 190 countries. However, 2025 marked a period of severe pressure. From Q1-Q3 2021 to Q1-Q3 2025, revenue growth slowed from 20.72% to -12.38%, while net profit growth turned negative (-28.83% in 2025).
The downturn stems from domestic business contraction following China's medical anti-corruption campaign launched in July 2023, which disrupted equipment tenders. Mindray's prospectus reveals that mainland China revenue fell 27.79% in 2024 and 33.38% in H1 2025. The three core businesses all declined: patient monitoring revenue dropped 31.59%, in-vitro diagnostics (recently the largest segment) fell 16.11%, and medical imaging slid 22.51%.
Since its 2018 IPO, Mindray has distributed RMB 35.34 billion in dividends, with an average payout ratio exceeding 55%. In 2025 alone, three interim dividends totaled nearly RMB 5 billion. Most dividends benefited major shareholders, including controlling stakeholders and employee持股 platforms. Despite this, Mindray maintains strong liquidity, with RMB 17.13 billion in cash and a 25.3% debt-to-asset ratio as of September 2025.
The Hong Kong listing appears driven by globalization ambitions rather than funding needs. Chairman Li Xiting aims to position Mindray among the global top 10 medical device companies by 2030, with overseas revenue exceeding 70%. Currently ranked 25th globally (up two spots from 2024), Mindray remains the only Chinese firm in the top 30 but trails multinational giants in high-end segments like CT and MRI.
Historically, acquisitions have fueled Mindray's global expansion, including deals like Datascope (2008) and Zonare (2013). However, these have accumulated RMB 11.47 billion in goodwill (19% of total assets), posing potential impairment risks if acquired assets underperform.
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