Published: 18:49, September 18, 2020 | Updated: 16:51, June 5, 2023
New Frontier Health plans HK secondary listing in 2021
By He Shusi

New Frontier Group Chairman Antony Leung Kam-chung (left) and CEO Carl Wu, both co-founders of the group, attend the bell ringing ceremony as the company goes public on the New York Stock Exchange on June 28, 2018, raising US$468.5 million. (PHOTO PROVIDED TO CHINA DAILY)

HONG KONG - New Frontier Health Corp, the US-listed owner of United Family Healthcare –one of China’s largest private healthcare operators, is planning a secondary listing in Hong Kong as early as next year, its president Carl Wu confirmed to China Daily. 

It will mark the homecoming of another China concept stock from the Wall Street if the listing is completed.

It will mark the homecoming of another China concept stock from the Wall Street if the listing is completed

“We hope to go public in Hong Kong next year, but there’s no settled timetable,” Wu, who’s also chairman of the executive committee, told China Daily in a video interview. “The company’s business is mainly based in China. We think that to return to Hong Kong (Special Administrative Region) is suitable for the company’s long-term development.”
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New Frontier Health has invested 3 billion yuan (US$444 million) to build China’s largest premium general hospital under United Family Healthcare in the heart of Shenzhen. The 64,000-square meter project is expected to be completed in mid-2021 and start operating in the third quarter.

In the past three years, New Frontier has invested more than HK$15 billion (US$1.9 billion) in healthcare services across the mainland.

New Frontier Corp, the predecessor of New Frontier Health, went public on the New York Stock Exchange in June 2018 and raised US$468.5 million

New Frontier Health’s second-quarter revenue decreased by 12.6 percent compared with the same period last year to 548.9 million yuan. It was an increase of 27.4 percent from the prior period, as business continued to recover since the outbreak of COVID-19. Net loss decreased to 79.3 million yuan in the second quarter from 168.6 million yuan in the prior quarter. 

New Frontier Corp, the predecessor of New Frontier Health, went public on the New York Stock Exchange in June 2018 and raised US$468.5 million. It acquired United Family Healthcare in December last year for about US$1.3 billion, from owners including affiliates of TPG and Fosun Pharmaceutical. 

Wu said on a conference call with analysts on Aug 27 the US-listed company was considering a secondary listing.

“This is our prior strategic move,” Wu said on the call. “We think New Frontier Health will obtain an attractive valuation in Hong Kong. We have done a lot of analysis on the choice."

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New Frontier Health shares fell 7.3 percent to close at US$7.6 per share in New York trading on Thursday, with a market capitalization of US$998 million. 

New Frontier’s board of directors includes Hong Kong’s former financial secretary Antony Leung Kam-chung as chairman, Chen Qiyu, chairman of Fosun Pharma, Roberta Lipson, founder and CEO of United Family Healthcare, and Edward Leong Che-hun, former chairman of Hong Kong’s Hospital Authority.  

With United Family Healthcare under its umbrella, the group now operates 18 hospitals, 18 clinics, and 45 community nursing centers.