Tencent's heavily invested kidney innovation drug is going public.

Questioning AI · Why is Tencent heavily invested in innovative kidney drug companies?

Core product AP301 has already begun global Phase III clinical trials.

Text | Zhitong IPO ID: zhitongIPO

Author | Han Wenjing

Led by a PhD team, another innovative drug company is preparing to go public.

On May 4th, Libang Medicine (Jiangsu) Co., Ltd. (referred to as “Libang Medicine”) updated its latest prospectus, planning to list on the Hong Kong Stock Exchange. This is Libang Medicine’s second IPO attempt after the initial filing in October 2025 failed.

Founded in 2018, Libang Medicine is a biopharmaceutical company focused on kidney disease. Seeing the global medical challenge of chronic kidney disease (CKD) as a market gap, Dr. Gavin Guoyao Xia and Tian Jin jointly founded Libang Medicine.

As the company’s core founders, their professional backgrounds have laid a solid foundation for Libang Medicine’s development. Gavin Guoyao Xia is an experienced entrepreneur and venture capitalist with over 15 years of expertise in healthcare, specializing in drug R&D and management of biotech startups. He holds dual bachelor’s degrees in Chemistry and Economics from Peking University and a PhD in Chemistry from the University of Chicago.

Tian Jin is an experienced nephrologist with over 30 years of industry experience, having worked at Abbott and Roche, focusing on clinical development. His extensive clinical experience provides critical support for Libang Medicine’s product R&D and clinical trials.

Leveraging the professional strengths of the core team, Libang Medicine has built a rich and competitive product pipeline. As of the last feasible date, the company’s clinical and preclinical product portfolio consists of one core product, AP301, and six other candidates, including: a late-stage clinical candidate (AP306), a preclinical candidate (AP303), and four preclinical candidates (AP308, AP304, AP305, and AP307).

Source: Prospectus screenshot

Among them, the company’s core product AP301 is a unique phosphate binder used to treat hyperphosphatemia. Hyperphosphatemia is one of the most common complications of CKD, with significant unmet medical needs. AP301 has completed Phase III registration trials in China and is expected to submit a New Drug Application (NDA) soon. It is currently conducting global Phase III multicenter pivotal clinical trials in the US and China.

In addition to the pipeline, Libang Medicine already has a commercialized product, Meixinluo, which is a long-acting erythropoietin (EPO) used to treat anemia related to CKD. It is the world’s first approved long-acting EPO for monthly administration. After obtaining the commercialization rights for Meixinluo® in China, the company included it in the 2023 China National Reimbursement Drug List (NRDL). As of the last feasible date, Meixinluo has entered over 300 hospitals in China.

In terms of performance, Libang Medicine’s revenue in 2023, 2024, and 2025 is approximately zero, 6.525 million RMB, and 30.556 million RMB, respectively; losses during these periods are 365 million RMB, 335 million RMB, and 752 million RMB.

The prospectus states that the company’s revenue increased from 6.5 million RMB in 2024 to 30.56 million RMB in 2025, mainly due to increased sales of Meixinluo®, driven by improved product awareness, expanded hospital coverage, and higher usage rates of the company’s commercial products among patients.

The dual potential of performance and pipeline has also attracted many well-known institutions. Since its founding, Libang Medicine has completed multiple funding rounds, including Series A, A+, B, B+, Pre-C, and C rounds, involving Tencent Holdings, Guojin, Lilly, and other prominent institutions.

Before the IPO, in the shareholder structure prior to listing in Hong Kong, Dr. Gavin Guoyao Xia, Dr. Jin Tian, Dr. Shuchutian, Ms. Wang Yun, and Dr. Zhang Huading are acting in concert, controlling a total of 24.5018% of shares directly or indirectly.

Additionally, Tencent holds 11.732%, Guojin 9.6166%, LAV USD 8.3386%, and Huagai Capital 1.9864%. After the financing in October 2025, Libang Medicine’s post-investment valuation reached 16B RMB.

For this Hong Kong listing, Libang Medicine plans to raise funds to support ongoing and planned clinical development and regulatory affairs, focusing on the core product AP301; advancing preclinical development of candidates (including AP304, AP305, and AP307); upgrading manufacturing capacity; and commercializing candidates after approval.

(First image source: TuChong)