【New Stock IPO】Medtech 2526 Raises Up to Approximately HK$900 Million, Develops Medical Imaging Products. First Day Receives HK$220 Million in Share Placement, Oversubscribed 1.4 Times. Entry Price for One Lot HK$5,682

DeShi-B (New Listing Number: 02526)
Initial Public Offering from March 20 to 25.
Mainland China specialized and innovative “Little Giant” enterprise, Tencent Holdings (00700) partner medical device company DeShi plans to issue 7.999 million H-shares, with 10% available for public offering in Hong Kong. The offer price ranges from HKD 95.6 to HKD 112.5, raising up to nearly HKD 900 million.

As of the evening of March 20, DeShi recorded HKD 220 million in margin subscriptions, with HKD 89.99 million raised from the public offering, oversubscribed 1.4 times.

DeShi offers 50 shares per lot, with an entry fee of HKD 5,681.70 per lot. The company is expected to list and start trading on March 30. Huatai International is the sole sponsor.

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DeShi is a medical device company focused on developing medical imaging products and services. It has developed a diversified product portfolio that effectively improves diagnostic efficiency and service quality, including:

• (i) Six medical imaging software products, including the core product AI AutoVision® at the registration stage, a commercialized product AutoVision®, and four pre-clinical candidate products;
• (ii) Three commercialized medical devices; and
• (iii) Four main reagents and consumables.

The core product, AI AutoVision®, is a chromosomal karyotyping assistive diagnostic software designed for intelligent analysis of chromosomal karyotypes. DeShi plans to sell this software in China and globally through customized computers pre-installed with the software.

AI AutoVision® is expected to be indicated for prenatal diagnosis of birth defects using amniotic fluid samples and chromosomal karyotype analysis for assisted reproductive diagnostics using peripheral blood samples. It is intended for use in birth defect prevention, pre-marital and pre-pregnancy screening, and assisted reproduction.

DeShi’s revenue mainly comes from medical imaging software, medical devices, technology licensing, and analysis and consulting services. In the first nine months of last year, it recorded RMB 110 million in revenue, a 469.8% year-on-year increase, with a net loss of RMB 36.65 million, narrowed by 27.9%.

In 2025, DeShi will establish a strategic partnership with Tencent, combining its advantages in medical imaging AI with Tencent’s expertise in cloud services, modular AI algorithm output capabilities, and integrated marketing resources.

DeShi’s IPO did not include cornerstone investors.

Use of net proceeds:

• 49%: R&D and commercialization of core product AI AutoVision®
• 10%: R&D of other medical imaging software candidates and medical devices
• 20%: Strengthening iMedImage® foundational models and AI technology, as well as licensing business
• 8%: Enhancing commercialization capabilities and market penetration in China
• 5%: Expanding global business
• 8%: Seeking strategic cooperation and investment opportunities with upstream and downstream participants in the medical value chain

Source: DeShi Announcement

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