The Hong Kong stock market saw three new listings debut on the same day. They are Dajin Heavy Industry, Tianchen Bio-B, and Lung Fung Group. Among them, Dajin Heavy Industry opened flat, Tianchen Bio-B opened up more than 50%, while Lung Fung Group (HKEX: 02290) opened below its issue price, falling over 16%.

Lung Fung Group's IPO public offering stage recorded a significant oversubscription of 664.92 times. According to the allotment results, the final number of shares under the public offering was 12.5 million, representing approximately 10% of the total global offering. The company received roughly 133,200 valid applications, with about 16,359 applications being accepted. The share allocation ratio for investors applying for one board lot was approximately 5% (i.e., a 5% success rate per application).

For the international placement, Lung Fung Group secured 3.18 times subscription. The final number of shares under the international offering was 113 million, accounting for 90% of the total shares offered. Despite the relatively active subscription, the company faced immediate downward pressure on its first trading day.

Prospectus information shows that Lung Fung Group is a leading chain retailer of beauty products, health products, and medicines operating under the 'Lung Fung' brand and based in Hong Kong. As of the last practicable date in the prospectus, the company operated 31 retail stores in Hong Kong and managed multiple online sales platforms, focusing on providing customers with a wide variety of value-for-money products. With over 30 years of industry experience, the company has developed a strong capability to identify and understand consumer demand in the local retail market, establishing its position as a one-stop supplier of beauty, health, and pharmaceutical products.

The company possesses robust supply chain and procurement capabilities. As of November 30, 2025, Lung Fung Group sourced products from over 600 suppliers, including international brand manufacturers and authorized distributors, ensuring stable and timely product supply. The company maintains solid supplier relationships; in the fiscal years 2023, 2024, and 2025, three of its top five suppliers had business relationships spanning over 15 years.

Financial data indicates that Lung Fung Group has maintained strong revenue growth in recent years. For the fiscal years 2023, 2024, and 2025, the company's total revenue was HK$1.094 billion, HK$2.0207 billion, and HK$2.4605 billion, respectively, achieving a compound annual growth rate of 50.0% over the three-year period.

Regarding profitability, the company recorded a loss of HK$27.1 million in fiscal 2023. However, it returned to profitability in fiscal 2024 and 2025, posting annual net profits of HK$144.5 million and HK$170.4 million, respectively, representing growth of 17.9% over the two years, demonstrating continuous improvement in operational efficiency.