IPO News | 'Home Medical Device Company' Cofoe Medical launches its IPO prospectus, with a planned listing on May 6. The subscription amount for one lot is HKD 3,972.67.

Futu News April 27 update, $COFOE MEDICAL (01187.HK)$ The company announced the offering will take place from April 27 to April 30. It plans to offer approximately 27 million shares globally, with an expected listing date of May 6.

Company Overview

Cofoe Medical is a home medical device company in China. According to Frost & Sullivan, based on domestic revenue in 2024, the company ranks second among all home medical device companies in China, with a market share of 2.1%. The global home medical device industry is highly competitive, particularly in sectors like home rehabilitation aids, home respiratory support products, and home medical care consumables.

Relying on the company's industry-leading home medical product portfolio, which covers more than 200 products and tens of thousands of product specifications, Cofoe Healthcare can effectively meet the needs of family members across different age groups. Moreover, its outstanding track record demonstrates that the company has earned consumer trust, becoming the preferred supplier for evolving home care needs at various stages of their life cycle. Since its establishment, the company has been committed to building and refining its sales network, considering it a key pillar of business success as convenience and efficient accessibility of home medical devices are among the core demands of consumers and patients.

Financial Summary

For the fiscal years ended December 31, 2023, 2024, and 2025, Cofoe Healthcare's revenues were RMB 2,853.7 million, RMB 2,982.9 million, and RMB 3,387.5 million, respectively. The company's gross profits in 2023, 2024, and 2025 were RMB 1,172.6 million, RMB 1,508.7 million, and RMB 1,751.6 million, respectively. The company's annual profit increased from RMB 252.9 million in 2023 by RMB 59.4 million to RMB 312.3 million in 2024, and further rose from RMB 312.3 million in 2024 by RMB 58.0 million to RMB 370.3 million in 2025.

Source: Prospectus

Use of Proceeds

Regarding the use of proceeds, Cofoe Healthcare expects the net proceeds from the global offering to be approximately HKD 1.007 billion (assuming the over-allotment option is not exercised and based on the maximum offer price of HKD 39.33). According to the prospectus, Cofoe Healthcare plans to allocate the proceeds from the global offering as follows:

Approximately 30% will be used for global expansion; around 30% will be allocated for the company's ongoing product research and development and technological innovation, including its artificial intelligence and Internet of Things applications; about 20% will be directed toward expanding the company’s domestic sales channels and distribution networks; roughly 10% will be used for brand promotion and marketing activities; and approximately 10% will be reserved for working capital and general corporate purposes.