HEFEI LIFEON PHARMACEUTICAL CO LTD

What HEFEI LIFEON PHARMACEUTICAL CO LTD does

Hefei Lifeon Pharmaceutical Co Ltd (合肥立方制药股份有限公司, SZSE: 003020) is a Chinese integrated pharmaceutical enterprise founded in 2002 and headquartered in Hefei High-tech Industrial Development Zone, Anhui Province. The company operates a vertically integrated value chain spanning the research, manufacturing, and commercialization of pharmaceutical formulations, active pharmaceutical ingredients, intermediates, pharmaceutical excipients, natural extracts, and traditional Chinese medicine (TCM) herbal slices. It serves hospital and institutional healthcare customers via national and provincial tendering and volume-based procurement programs, retail pharmacy consumers through its owned Anhui-based Lifeon Pharmacy Chain subsidiary (安徽立方连锁药房有限公司), and direct consumers via a JD.com online storefront.

The company's technological foundation rests on two proprietary platforms. The first is a single-layer core osmotic pump controlled-release technology (单层芯渗透泵控释技术) for poorly soluble drugs, which received the Anhui Provincial Science and Technology Award First Class in 2019 and has been industrialized. The second is a 'broken-wall broken-membrane' annular counter-current extraction and separation platform for TCM that enabled construction of China's first continuous TCM extraction production line. Core product franchises span four therapeutic areas: gastrointestinal (exclusive TCM product Yiqi Hewei Capsule for chronic gastritis with Grade 2 protected variety status; Mesalazine enteric-coated tablets for IBD), CNS (domestic first generic Methylphenidate extended-release for ADHD), cardiovascular (Azilsartan Potassium Tablets), and diabetes.

The business model combines pharmaceutical manufacturing, wholesale and retail distribution, and product licensing through national and provincial procurement programs. Seven products are listed in the 2020 National Medical Insurance Catalog, and three products participate in the national centralized drug procurement continuation program, providing institutional revenue visibility. Pricing is largely determined through competitive bidding in volume-based procurement. The company operates five wholly-owned manufacturing subsidiaries plus a retail pharmacy chain, and is led by Chairman Ji Junqiu and General Manager Deng Xiaojuan. It completed its IPO on the Shenzhen Stock Exchange SME Board on December 15, 2020.

Name

HEFEI LIFEON PHARMACEUTICAL CO LTD

Legal name

合肥立方制药股份有限公司

Website

https://lifeon.cn

Company type

Public

Founded year

2002

Operating status

Operating

Headcount range

1,001–5,000 employees

Short description

Hefei Lifeon Pharmaceutical Co Ltd is a Chinese integrated pharmaceutical company developing, manufacturing, and commercializing generic formulations, APIs, intermediates, and TCM products across cardiovascular, CNS, gastrointestinal, and endocrine therapeutic areas through hospital procurement, owned retail pharmacy chain, and JD.com online channels.

Ownership category

akta.pro rank

Product category

Generic Pharmaceuticals

NAICS

Pharmaceutical Preparation Manufacturing (325412), Pharmaceutical and Medicine Manufacturing (3254), Medicinal and Botanical Manufacturing (325411)

SIC

Pharmaceutical Preparations (2834), Wholesale-Drugs, Proprietaries & Druggists' Sundries (5122), Medicinal Chemicals & Botanical Products (2833)

akta.pro primary industry

Generic Finished Dosage Form (FDF) Manufacturing (HLAIABAH)

akta.pro secondary industries

Gastroenterology & Hepatology Pharmaceuticals (HLAIAAAI), Prescription Pharmaceutical (Rx) Wholesale Distribution (CRAOAHAA), Specialty Pharmacy & Biologics Distribution (CRAOAHAD)

Keywords

• Pharmaceutical manufacturing
• Controlled-release formulations
• Generic drug development
• Traditional Chinese medicine
• Active pharmaceutical ingredients

Headquarters

HQ city

Hefei

HQ country

China

HQ region

Asia

Offices2 records

Markets served

GTM type

B2B and B2C

Offering type

Hardware or Manufacturing

Cost components

Personnel, Operations, Technology or R&D, Supply Chain, Marketing or Sales, Infrastructure

Revenue model

1. Pharmaceutical Manufacturing and Sales: Revenue from manufacturing and selling finished dosage forms (制剂), active pharmaceutical ingredients (原料药), pharmaceutical intermediates (中间体), pharmaceutical excipients (药用辅料), extracts (提取物), and medicinal decoction pieces (饮片). Products are sold through hospital/institutional channels via tendering, retail pharmacy channels, and national volume-based procurement programs.
2. Wholesale and Retail Distribution: Revenue from pharmaceutical wholesale (药品批发) and retail operations through its subsidiary retail pharmacy chain (立方连锁药房) and online platforms including JD.com.
3. Product Licensing and National Procurement: Revenue from products selected into national and provincial volume-based procurement (集中带量采购) programs, including 3 products selected in the national centralized procurement continuation program (国家集采药品接续采购). Seven products included in the 2020 National Medical Insurance Catalog.

Pricing tiers

Go-to-market motion2 records

Distribution channels3 records

Marketing channels4 records

Core offering

Hefei Lifeon Pharmaceutical is an integrated pharmaceutical manufacturer that develops, produces, and sells finished dosage formulations (tablets, capsules, injections), active pharmaceutical ingredients, intermediates, pharmaceutical excipients, TCM extracts, and medicinal slices. The company distributes these products through hospital/institutional procurement, a wholly-owned retail pharmacy chain, and an online pharmacy on JD.com, with seven products included in the 2020 National Medical Insurance Catalog and three products in national centralized volume-based procurement.

Product overview

Hefei Lifeon Pharmaceutical Co Ltd is an innovative pharmaceutical enterprise integrating R&D, production, and sales of pharmaceutical preparations, active pharmaceutical ingredients (APIs), intermediates, pharmaceutical excipients, extracts, and medicinal slices. The company operates a complete pharmaceutical industry chain from upstream raw material production to downstream terminal sales. Core products include proprietary TCM formulations like 益气和胃胶囊 (Yiqi Hewei Capsule), cardiovascular drugs like 美阿沙坦钾片 (Azilsartan Potassium Tablets), CNS treatments like 盐酸哌甲酯缓释片 (Methylphenidate Extended-Release Tablets), and GI products like 美沙拉秦肠溶片 (Mesalazine Enteric-coated Tablets). The company also operates an online pharmacy channel through JD.com. The business structure follows a strategy of 'high-end preparation R&D and production as the leader, with APIs and pharmaceutical commerce as the two wings,' creating a full-coverage pharmaceutical industry chain.

Differentiator

Problem solved

Functional benefit

Products and services

• Yiqi Hewei Capsule (益气和胃胶囊) Exclusive TCM product for the treatment of chronic non-atrophic gastritis with spleen-stomach weakness and stomach heat stasis syndrome; approved as a Grade 2 protected TCM variety, providing Lifeon with regulatory exclusivity.
• Methylphenidate Hydrochloride Extended-Release Tablets (盐酸哌甲酯缓释片) First domestically approved generic ADHD (Attention Deficit Hyperactivity Disorder) treatment in extended-release tablet form; addresses domestic demand previously reliant on imported products.
• Mesalazine Enteric-coated Tablets (美沙拉秦肠溶片) Enteric-coated mesalazine tablet for the treatment of inflammatory bowel disease (ulcerative colitis, Crohn's disease).
• Azilsartan Medoxomil Potassium Tablets (美阿沙坦钾片) Newly approved antihypertensive drug in 40mg and 80mg dosage strengths for the treatment of hypertension.
• Online Pharmacy on JD.com (网上药店) Company-operated online pharmacy storefront on JD.com (store ID 11601405) enabling direct-to-consumer sales of Lifeon's prescription and OTC pharmaceutical products.

Quantifiable outcome

• 益气和胃胶囊 achieved 241%, 213%, and 125% year-over-year growth in Chinese public medical institution market for three consecutive years

Named customers2 records

Segments4 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature2 records

Partnerships

Seven partnerships are on record, tiered core and minor.

• Hefei Municipal Healthcare Security BureaucoreOthers · 13 October 2020Hefei Municipal Healthcare Security Bureau leaders visited the company to understand its operations, with the company reporting its business performance and tax contributions. The bureau is responsible for medical insurance policies affecting pharmaceutical companies.
• Hefei Municipal Government / Hefei High-Tech ZonecoreOthersThe company maintains a close relationship with Hefei municipal government and Hefei High-Tech Zone Management Committee. Government leaders have attended the company's listing ceremony and conducted multiple on-site research visits, praising the company's innovation capabilities and contributions to the local biomedical industry. The government provides policy support and created a favorable business environment for the company's development.
• Anhui Medical University (安徽医科大学)coreStrategic or Co-development PartnerAnhui Medical University and Lifeon Pharmaceutical conducted student internship exchange activities. The university's teachers and students visited the company for a one-day practical learning experience. This partnership provides the company with access to medical talent and academic resources.
• 白云山和黄中药 (Baiyunshan Hwangto Pharmaceutical)minorStrategic or Co-development PartnerOn September 19, 2023, the Baiyunshan Hwangto Pharmaceutical Party Branch and Lifeon Pharmaceutical Party Branch held a joint party-building exchange meeting at the Lifeon marketing building. The two parties exchanged experiences in party-building work and enterprise development, sharing insights on party-building integration with business operations.
• 天乐社区党总支 (Tianle Community Party Branch)minorOthersLifeon Pharmaceutical Party Branch collaborates with Tianle Community Party Branch on various community activities including pandemic donations, Mid-Autumn Festival support visits, and employee welfare initiatives.
• 安徽省医药行业协会 (Anhui Provincial Pharmaceutical Industry Association)coreOthersLifeon Pharmaceutical's chairman Ji Junqiu serves as president of the Anhui Provincial Pharmaceutical Industry Association. The association organized the 2021 Anhui Province Traditional Chinese Medicine Innovation Development Conference, which Lifeon supported.
• 千金湘江药业 (Qianjin Xiangjiang Pharmaceutical)minorGTM or Marketing PartnerLifeon Pharmacy Chain collaborated with Qianjin Xiangjiang Pharmaceutical to hold the 'Filial Walking' public welfare activity for senior citizens at Hefei Peace Square, demonstrating joint marketing and CSR partnership.

Scale indicators5 records

Recent moves8 records

Expansion highlights5 records

Broad incumbents

• Jiangsu Hengrui Medicine: China's largest generic and innovative pharmaceutical company with broad therapeutic area coverage. Comparable as a Chinese pharma manufacturer with integrated R&D, manufacturing, and commercial capabilities, though at a much larger scale than Lifeon.
• CSPC Pharmaceutical Group: Major Chinese pharmaceutical conglomerate spanning innovative drugs, generics, and TCM. Comparable integrated value chain from API to finished formulations with similar domestic market focus, but operating at substantially larger scale.
• Yangtze River Pharmaceutical Group: One of China's largest privately-held pharmaceutical companies with broad generic and TCM portfolio. Comparable Chinese domestic focus with vertically integrated operations, but at substantially larger scale.
• China Resources Pharmaceutical Group: State-owned Chinese pharmaceutical conglomerate with extensive manufacturing, distribution, and retail pharmacy operations. Comparable vertical integration including retail pharmacy chain operations like Lifeon's subsidiary chain.

Direct peers

• Luye Pharma Group: Chinese pharmaceutical company specializing in innovative drug delivery systems including sustained-release and targeted formulations. Closely comparable given Lifeon's focus on osmotic pump controlled-release technology and proprietary delivery platforms.
• Livzon Pharmaceutical Group: Chinese integrated pharmaceutical company with significant API, formulation, and TCM operations. Comparable vertically integrated value chain and similar therapeutic area focus (GI, cardiovascular, CNS), at a comparable mid-tier scale.
• Zhejiang Huahai Pharmaceutical: Chinese specialty pharmaceutical manufacturer with strong API and formulation capabilities, including in CNS and cardiovascular therapeutic areas. Comparable focus on complex generics and controlled-release formulations.
• Sichuan Kelun Pharmaceutical: Chinese pharmaceutical company focused on infusion therapies, injectable drugs, and API manufacturing. Comparable vertically integrated operations spanning manufacturing to distribution, with similar mid-tier scale in the Chinese market.
• Zhejiang Hisun Pharmaceutical: Chinese specialty pharmaceutical manufacturer with strong API capabilities and finished formulation development. Comparable vertically integrated value chain and similar therapeutic area focus on complex generics.

Regional players

• Yuyue Inc. (Yuyue Medical & Health): Diversified Chinese pharmaceutical and medical device company with strong domestic OTC and prescription drug presence. Comparable integrated manufacturing-distribution model targeting Chinese healthcare institutions and retail consumers.

Market position

Strengths5 records

Weaknesses4 records

Competitive moat4 records

Key risks5 records

Key highlights6 records

Customer concentration

Revenue estimate

Valuation estimate

Number of profiles

Profiles4 records

Subsidiaries5 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about HEFEI LIFEON PHARMACEUTICAL CO LTD