MicroPort (0853) Selling Overseas Orthopedics to Tinavi: A Cleaner, Higher-Margin MicroPort if Completed

Research evidence excerpt

MicroPort (0853) Selling Overseas Orthopedics to Tinavi: A Cleaner, Higher-Margin MicroPort if Completed

J P M O R G A N Asia Pacific Equity Research

17 July 2026

MicroPort (0853) Overweight

0853.HK, 853 HK

Selling Overseas Orthopedics to Tinavi: A Cleaner, Price (16 Jul 26):HK$7.12

Higher-Margin MicroPort if Completed Price Target (Dec-26):HK$18.00

MicroPort has signed a non-binding letter of intent, dated 15 July 2026, to sell a Healthcare and SMID-Caps

ACcontrolling stake in Shanghai MicroPort Orthopedics — the group's international Derek Choi

(non-China) hip and knee reconstruction unit — to A-share-listed Tinavi Medical (852) 2800-8744

(688277 CH), a leader in orthopedic surgical robots in China. Tinavi would pay derek.c.choi@jpmorgan.com

entirely via issuing new shares. Key terms, including stake size, consideration and J.P.MorganMorganBrokingSecurities(Hong (AsiaKong)Pacific)LimitedLimited/ J.P.

issue price, are still being negotiated. Based on our review of HKEx filings, ~50%

Yang Huang

of deals at a similar stage to this deal would eventually close. We expect the deal, (852) 2800 3812

if it closes, would lift MicroPort’s blended margins, as the unit accounted for ~20% yang.huang@jpmorgan.com

sales of MicroPort in FY25 and has been loss-making, making it a positive for J.P. Morgan Securities (Asia Pacific) Limited/ J.P.

Morgan Broking (Hong Kong) Limited

MicroPort. On Medbot, since it leverages MicroPort’s group-owned

commercialization platform GloMatrix for overseas sales activities, it appears to Eric Zhao, CFA

(86-21) 6106 6256

us that the disposal of an overseas-heavy unit of MicroPort would not have much eric.zhao@jpmorgan.com

impact on the distribution of Medbot’s Toumai outside China. We remain SAC Registration Number: S1730524050001