Hua Han, which is expanding its biopharmaceutical product range, hopes the Magic spin-off will improve valuation of both its drugs and facial mask businesses.

Magic's products are sold by Watsons, Carrefour, Wal-Mart and other retailers on the mainland. The company has a joint venture with Hanbul, a South Korean cosmetics and skincare company.

Also making its trading debut was MicroPort Scientific Corp, a Shanghai-based medical device manufacturer. It did almost as well as Magic, rising 35.9 per cent above its offer price of HK$6.10 to close at HK$8.29.

MicroPort plans to spend its HK$1.43 billion listing proceeds on developing new products, conducting clinical trials and building a new plant.

Magic and MicroPort are among a number of mainland firms from the high-growth health-care sector that are raising cash to fund expansion.

According to a report by CLSA Asia Pacific Markets, biopharmaceutical products and medical devices are among the fastest growing in the mainland's health-care market.

Last year, the gross revenue of the mainland's biopharma segment reached 75.3 billion yuan (HK$87.02 billion) - more than 10 times its gross revenue of 7.2 billion yuan in 2000. Revenue growth in the medical device segment is even more remarkable: total revenue was only 7.2 billion yuan in 1999, but soared to more than 13 times that to reach 97.6 billion yuan in 2009, according to CLSA.

Investors in Hong Kong can expect more listings from the health-care sector in the next few months.

Drug distributor China Medical System Holdings is offering 200 million shares at HK$5.06 each and the stock is scheduled to start trading on Tuesday.

Cardiovascular and cerebral-vascular drugmaker Sihuan Pharmaceutical, which de-listed from the Singapore stock exchange last year, is hoping to tap the Hong Kong equity market for more than HK$5 billion.

There are more than 10 new listings in the pipeline. But brokers said firms such as Magic had already mopped up much of the liquidity in the market, and offerings such as China Medical System had not drawn as much interest.

Fujian-based Changfeng Axle (China) Co, which makes axle components for trucks, was less impressive on debut yesterday. Its shares rose 12.5 per cent above its offer price of HK$4, closing at HK$4.50.

Magic Holdings

Issue price HK$3.30. Closing price, in HK dollars, was: $4.51

MicroPort Scientific

Issue price HK$6.10. Closing price, in HK dollars, was: $8.29

Changfeng Axle

Issue price HK$4. Closing price, in HK dollars, was: $4.50