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Approval Granted for Full Circulation of Zylox-Tonbridge H shares, Significantly Raising its Circulation Market Capitalization
Zylox-Tonbridge Medical Technology Co., Ltd. ("Zylox-Tonbridge" or "the Company", "2190.HK") announced on February 28 that it has received approval from Hong Kong Stock Exchange, regarding implementation of full circulation of its H shares. The approval was for the conversion and listing of the Company’s 194 million domestic unlisted shares.
Zylox-Tonbridge said that circulation of its H shares will contribute to enhance their liquidity and the Company's circulation market capitalization, thereby attracting a greater number of foreign and local investors. In the long run, it will also help improve the Company’s governance structure and better stimulate the power for its development, as well as achieve long-term steady growth and investment returns. Zylox-Tonbridge will continue to improve its capital strength so as to better meet the needs of high-quality development of the Company.
The aforesaid shares are scheduled for listing on the Stock Exchange on March 4. The percentage of Company's H shares will increase from 39.27% to 97.66% after completion of the conversion and listing. The Company will also continue to explore potential ways for the remaining domestic unlisted shares to be circulated and listed.
According to the unaudited operating statistics of 2021, Zylox-Tonbridge is expected to achieve full-year revenue of RMB178 million for a year-on-year growth of 545%. Its gross profit is expected to grow 698% year-on-year, to RMB 131 million, with gross profit margin further rising to 73%. Many of the Company's key products have been approved for commercialization, enabling its revenue to grow significantly. The increase of the Company's gross profit is attributable to the reduction in raw material prices driven by procurement volume, as well as more efficient production due to the continuously optimized production technology platform and increased production volume.