A Xinjiang-based medicine company is planning to become the first firm from the northwestern region to float in Hong Kong by listing on the Growth Enterprise Market this year. Yesterday, Xinjiang Huashidan Pharmaceutical Shareholding's vice-president Fan Wenling told the South China Morning Post the company wanted to raise between HK$60 million and HK$80 million for new drug development as a result of the flotation to take place by the end of the year. A handful of firms in the less remote northwestern province of Shaanxi province are also reportedly gearing up for Hong Kong floats. Pushing companies to tap capital markets is part of the central government's effort to accelerate the development of its northwestern region. Other proposals by Beijing include boosting spending on infrastructure projects and restructuring state-owned enterprises. Ms Fan said the company provided bulk injectable medicines for most of the hospitals and clinics in the autonomous region, and had a market share of about 60 per cent. It also produced calcium tablets. South China Securities is believed to be the financial adviser to the GEM flotation. Last year, the company had a net profit of about eight million yuan (HK$7.51 million) on sales of 45 million yuan. State-owned Xinjiang Huashidan Pharmaceutical has more than a 30 per cent share in the company, with the rest held by private shareholders. An executive of Xinjiang Huashidan said the company chose the GEM because of its low listing requirements.