Cofoe Medical Technology Co.,Ltd. (301087) has announced a public offering from April 27 to April 30, 2026, with plans to issue 27 million H shares globally. The Hong Kong public offering will constitute 10% of the total, while the international offering will account for 90%. The maximum offer price is set at HK$39.33 per share, with a board lot size of 100 shares. The H shares are expected to commence trading on the Stock Exchange of Hong Kong on Wednesday, May 6, 2026.
The company is a Chinese domestic household medical device enterprise. According to data from Frost & Sullivan, based on 2024 domestic revenue, the company ranks second among all household medical device enterprises in China, holding a market share of 2.1%. The global household medical device industry is highly competitive, particularly in the sectors of home rehabilitation aids, home respiratory support products, and home medical care consumables. Frost & Sullivan data indicates intense competition in both the home rehabilitation aids and home medical care product industries where the company operates, with each sector in China having over 300 market participants.
For the fiscal years ended December 31, 2023, 2024, and 2025, the company reported revenues of RMB 2.8537 billion, RMB 2.9829 billion, and RMB 3.3875 billion, respectively.
The company has entered into cornerstone investment agreements with several investors, including Lens Technology (Hong Kong), Changsha Yufeng, Yuanxin Investment, China Galaxy International Investment (concerning the Yuanxin Investment OTC swap), Panjing Fund, FR M CONSULTING, Hanqingda Industrial,大成国际, Zhongkang Technology, ODI TRUST, Huang Xuelin (Chairman of Shenglan Technology), Dai Jun'an (Director and General Manager of Yunling Limited, a wholly-owned subsidiary of VIVO Group), and Lu Qinchao (Founder and Executive Partner of Danlu Capital). Pursuant to these agreements, the cornerstone investors have agreed, subject to certain conditions, to subscribe, or procure their designated entities to subscribe, for a total of approximately $48.49 million worth of offer shares (rounded down to the nearest full board lot of 100 H shares).
Assuming an offer price of HK$39.33 per H share (the maximum price stated in the prospectus), the company estimates net proceeds from the global offering will be approximately HK$1.0072 billion. In line with its strategy, the company plans to allocate the net proceeds as follows: 30.0% for global expansion; 30.0% for ongoing product research, development, and technological innovation, including applications of artificial intelligence and the Internet of Things; 20.0% for expanding domestic sales channels and distribution networks; 10.0% for brand promotion and marketing activities; and 10.0% for working capital and general corporate purposes.
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