Tycoon Group Holdings, a Chinese manufacturer of medicines and health supplements, launched plans for an initial public offering in Hong Kong.
With the recent coronavirus outbreak, the business has added surgical masks and other anti-epidemic products to its portfolio.
Soochow Securities, which has been appointed as one of the coordinators on the deal, said Tycoon is seeking HKD 400.00 million (USD 51.59 million) in proceeds.
The business reportedly has exclusive rights to anti-epidemic products, which it gained shortly after the outbreak began, to now sell items from wet wipes and hand sanitisers to thermometers and surgical masks.
These goods have been hard to get a hold of since the coronavirus became a pandemic as individuals and medical professionals try to stock up before running out of them.
With over 2,300 distribution points, Tycoon creates Chinese medicine brands and maternal and child items.
China Resources Pharmaceutical Retail Group picked up a 25.0 per cent stake in the company for HKD 248.17 million last year.
Bloomberg observed that other businesses including silicon and rubber keypads group Ta Yang Group Holdings, ladies clothing maker Veeko International and toy manufacturer Kin Yat Holdings have also tapped into the mask market since the coronavirus outbreak.
According to Zephyr, the M&A database published by Bureau van Dijk, there have been 33 IPOs on the Hong Kong Stock Exchange that have completed in 2020 to date.
These deals were valued at a combined USD 1.94 billion and follow the 157 flotations worth an aggregate USD 24.40 billion completed in 2019.
Cayman Islands-incorporated China Resources Microelectronics raised CNY 3.75 billion (USD 528.43 million) in its stock market debut in the largest of these.
Jiumaojiu International Holdings, Huijing Holdings, China Bright Culture Group and Lvji Technology Holdings, among others, have also gone public in 2020.
© Zephus Ltd