HONG KONG, Jun 26, 2026 - (ACN Newswire) - On June 26, 2026, Beijing Tong Ren Tang Healthcare Investment Co., Ltd. (“Tong Ren Tang Healthcare”) stands on the eve of its Hong Kong listing. Backed by the 357-year-old time-honored brand “Tong Ren Tang”, this TCM healthcare services provider today announced the launch of its Global Offering under the stock code 02667.HK. The Offer Price range is HK$5.48 to HK$6.21 per Share, representing a slight downward adjustment from the previous offering and a corresponding downward adjustment in the fundraising scale of approximately HK$226 million based on the maximum Offer Price, which demonstrates the Company’s more pragmatic pricing strategy in the current market environment. CICC acts as the sole sponsor, and dealings in its shares are expected to commence on July 7. The Global Offering comprises a total of 108,153,500 H Shares, of which 10% are under the Hong Kong Public Offering and 90% under the International Offering. Cornerstone investments account for approximately 46.79% of the offering.
The Company launched an offering in March this year. Subsequently, it announced that, after comprehensively considering multiple objective factors including the then-current market environment and overall capital market conditions, and in order to fully protect the interests of investors and safeguard the long-term stable development of its brand, it had decided to postpone the Global Offering and its proposed listing on the Main Board of the Hong Kong Stock Exchange. With the offering now relaunched, the competitiveness of this time-honored brand in the TCM healthcare sector remains compelling. From brand barriers and earnings quality to full-industry-chain synergies and low-cost expansion, Tong Ren Tang Healthcare has accumulated advantages that form a solid foundation for its long-term development.
The First Listed TCM Group: 0.16% Promotion Expense Ratio Far Below Peers, with 20.5% Annual Membership Growth
Tong Ren Tang is one of China’s few national brands with a history of more than three centuries. As the only subsidiary of TRT Group strategically focused on TCM healthcare services, Tong Ren Tang Healthcare combines the essence of traditional Chinese medicine with modern healthcare management services. Through standardized chain operations and modernized management systems, it provides one-stop, customized TCM healthcare services.
The power of the brand is most directly reflected in customer acquisition costs. According to its prospectus, in 2025, the Company's promotion expenses (included in selling and distribution expenses) were RMB1.844 million, representing a promotion expense ratio of just 0.16%, significantly lower than the industry average of 0.5% to 2.0%. While other companies spend heavily to acquire customers, Tong Ren Tang naturally attracts organic traffic. This brand premium is the result of centuries of accumulation and represents a barrier that is difficult for any competitor to replicate.
In terms of market position, based on total out-patient and in-patient visits in 2025, Tong Ren Tang Healthcare ranked first in China’s non-public TCM hospital healthcare service industry, with a market share of 1.5%. The cumulative number of members grew from 530,691 in 2023 to 770,174 in 2025, representing a CAGR of 20.5%. In an extremely fragmented TCM healthcare services market, securing the leading position itself demonstrates the power of the Company’s brand heritage being fully realized.
Pioneer in Tiered Healthcare: Total Patient Visits Jump 94% in Two Years, with Customer Return Rate as High as 86%
The Company is one of the pioneers in deploying a tiered, online-offline integrated healthcare network. Benefiting from the synergies of this network, total patient visits grew by 94% in two years, from 1.78 million in 2023 to 3.45 million in 2025. Moreover, the Company demonstrates extremely high customer stickiness. For example, its SXT Hospital recorded a customer return rate as high as 86.0% in 2025, indicating exceptional brand loyalty and service recognition. The Company’s offline medical institutions are operating in an orderly manner, its service network continues to expand across core city clusters, and its Internet healthcare services are advancing steadily. Core businesses such as chronic disease management, post-operative rehabilitation and TCM wellness are highly recognized by the market.
Reaching Replicable Growth: Stable Revenue around RMB1.17B and RMB120M in Operating Cash Flow Build Virtuous Cycle
Financial data provides the most compelling evidence. For the years ended December 31, 2023, 2024 and 2025, the Company’s revenue remained stable at RMB1.153 billion, RMB1.175 billion and RMB1.171 billion, respectively. The Company's operating cash flow has remained in net inflow, reaching approximately RMB120 million in 2025, with a stable gross profit margin of 18.9%. As of December 31, 2025, cash and cash equivalents stood at approximately RMB287.7 million. These figures depict a company that has moved beyond the validation stage and entered a virtuous cycle of “growth and profitability.”
Full-Industry-Chain Synergies: 13 Self-owned + 13 Managed Medical Institutions with a Proprietary Supply Chain
Tong Ren Tang Healthcare benefits from the industrial barriers built by TRT Group across the full TCM industry value chain. Its self-owned healthcare service network covers hospitals, out-patient healthcare centers, clinics and community healthcare institutions. When combined with Tong Ren Tang’s nationwide pharmacy and clinic network, the density of institutions and service capacity could expand exponentially. The Company has begun providing online healthcare services through its self-owned Internet hospital for Tong Ren Tang’s offline pharmacies and physicians, with nationwide coverage. In addition, leveraging the resources of the Group, the Company obtained the exclusive right in January 2024 to sell the Tong Ren Tang-branded Angong Niuhuang Pills series to retailers in Zhejiang province. This “pharmaceuticals–retail–healthcare” full-industry-chain synergy represents a formidable structural advantage that pure-play healthcare service providers can hardly match.
Trillion-RMB Market Opportunity: TCM Service Market Reached RMB1.07 Trillion in 2025, to Reach RMB1.69 Trillion by 2030
From an industry fundamentals perspective, the Frost & Sullivan report shows that the market size of China's TCM healthcare service industry reached RMB1,072.1 billion in 2025 and is projected to grow to RMB1,690.6 billion by 2030, at a CAGR of 9.5%. By total TCM healthcare service revenue in 2025, this market represents a significant portion of China's healthcare expenditure. Benefiting from both policy support and market demand, the TCM healthcare sector is regarded as one of the core tracks of the “silver economy.” Furthermore, the concentration of China's non-public TCM healthcare service industry is extremely low, with the top five players accounting for only 5.4% of the market share. This implies that Tong Ren Tang Healthcare, as a sector leader with brand advantages and scalable operations, naturally possesses a first-mover and market integration advantage.
Conclusion
With population aging accelerating, with the number of people aged 60 and above exceeding 320 million, and national policies strongly supporting the integrated healthcare industry, the TCM-featured healthcare sector enjoys broad prospects and significant potential. Tong Ren Tang Healthcare possesses unique brand barriers, a mature business model and vast market demand. Its long-term fundamentals are solid, its growth logic is clear, and the ecosystem value created by its brand premium and Group-level industry-chain synergies has yet to be fully priced in. For this 357-year-old time-honored brand, listing is an important opportunity for development—not the final destination.
Reprinted from Ejinsight.