Business Highlights：
- 707% YoY revenue growth, achieved break-even in a single quarter, and 50% increase in headcount in 2021.
- Growth drivers in 2021 attributed to rapid testing at corporations in Taiwan and wound care products in China.
- Key business areas in 2022 include intelligent patient monitoring products, single-use medical devices, and handheld medical imaging devices.
- Phase III global business expansion is about to commence – from consultative services to contract design & manufacturing.
- Initiating strategic mergers & acquisitions (M&A) and Series D financing.
HKBio has achieved a 7x revenue growth with its new business model and has initiated a Series D financing
Established by the Chairman, John Hsuan, 8 years ago, HKBio has delved into the regulatory services and contract design and manufacturing services for almost a decade. In 2021, HKBio had a record-breaking year due to the rapid growth in Taiwanese corporate rapid testing needs and sales growth in China, achieving more than 6 fold annual revenue growth and quarterly break-even for the first time. Moving forward, HKBio is going after the contract design & manufacturing services in the US and Europe and it is planning to begin M&A activities and Series D financing in order to cope with HKBio’s exponential growth.
“HKBio has undergone 2 business transformations in the past 8 years. The first transformation happened when HKBio set up a manufacturing facility in China due to the “Made in China 2025” initiative. The second transformation occurred when we split the subsidiary in China, built a R&D and manufacturing facilities in Taiwan, and established a business development team in the US during the US-China Trade War. While the pandemic and global supply chain disruptions impacted many in 2021, HKBio was able to reap the rewards because we had put in resources in rapid tests early in the game. Therefore, we were able to help a few dozen companies and many science parks in Taiwan to get through the pandemic safely and swiftly last year.” – HKBio’s Co-founder & CEO Michael Kuo.
However, the pandemic has provided business opportunities as well. HKBio’s China subsidiary has ventured into novel wound care product development and sales with product lines covering adults, children, and pets. Since obtaining the regulatory certificate, it has become one of the major revenue generators last year. On the other hand, HKBio has joined the intelligent monitoring robotics market and successfully completed the product design phase for the first customer, addressing the aging population and its long term care needs. This product is expected to go into mass production this year.
After securing a US$5.5M Series C early last year, HKBio has been actively recruiting and developing in the North American and European markets. HKBio’s headcount has grown by 50%, including senior executives such as an Executive Assistant to the CEO, a Chief of Staff, a Chief Financial Officer, and a North America General Manager. In addition to the wound care and long term care products mentioned above, HKBio is planning to go into the single-use medical devices and handheld medical imaging devices markets, providing contract design and manufacturing services. The primary target segments will be home sleep test, at-home & outpatient diagnostics, minimally invasive surgery, and pet health.
Leveraging the experiences gathered from the previous 3 business pivots, HKBio is confident in thriving in this tight market in 2022. “Global biotech investments have been growing continuously for 10 quarters in the past 2 years. Investment size and M&A activities have reached a record breaking number.” – CEO, Michael Kuo.
As the US-China relations continue to intensify, the supply chains and manufacturing sector in Taiwan still proves to be value-adding. Combining HKBio’s unique expertise in the leadership team and high profile shareholders, it is possible for HKBio to provide an end-to-end service, from product design and mass production optimization to leasing and financing. This ensures faster time-to-market for the customers and creates long term mutual value generation.
Moving forward, company growth by capital investments and financing will be a major strategic tactic to speed up HKBio’s global expansion and revenue growth. This encompasses sourcing M&A targets in Taiwan and globally and commencing the next round of financing. With the support of potential strategic investors and venture investors as well as robust revenue growth in the US and Europe, HKBio strives to become a global leader in the capital markets and medtech industry.
HKBio is a medical device CDMO with a VC mindset. For more information, please contact [email protected]
