Fosun Commits US$111 Million To Partnership With Public Hospital
The partnership between Fosun and Taizhou Muncipal Hospital will add approximately 2,000 new hospital beds to serve the residents of Taizhou.
AsianScientist (Aug. 20, 2014) - Fosun Pharma has made its first attempt to cooperate with public hospitals to explore a new business model of "combining healthcare and rehabilitation". An active player in China's private healthcare industry, Fosun intends to establish Taizhou Zanyang Medical Care Investment Management Company Limited (“Zanyang Medical Care”) with a capital contribution of over RMB680 million (~US$111 million) via Shanghai Yicheng Hospital Investment Management Company Limited, a wholly-owned subsidiary of Fosun Pharma, and Taizhou Municipal Investment Company Limited, a subsidiary of Taizhou Municipal Hospital.
Zanyang Medical Care will establish three subsidiaries, namely Taizhou Municipal Zanyang Hospital, Taizhou Zanyang Rehabilitation Centre and Taizhou Zanyang Medical Device Company Limited, with a view to establishing and operating tier-three class A regional healthcare institution and rehabilitation centre.
In particular, Taizhou Municipal Zanyang Hospital and Taizhou Zanyang Rehabilitation Centre will operate as a healthcare institution and a rehabilitation center, respectively, and Taizhou Zanyang Medical Device Company Limited will serve as a unified platform for purchasing medicine, medical devices and consumables for the abovementioned healthcare institution and rehabilitation centre.
Upon establishment, it is expected that a total of approximately 2,000 beds will be added, with approximately 1,200 beds at Taizhou Municipal Zanyang Hospital and approximately 800 beds at Taizhou Zanyang Rehabilitation Centre.
Teaming up with a public hospital this time, Fosun Pharma will leverage the medical resources of Taizhou Municipal Hospital and establish healthcare institutions and rehabilitation centers, covering the south-eastern region of Zhejiang province. Taizhou Municipal Hospital will facilitate the development of Taizhou Municipal Zanyang Hospital, when it comes to management, technology, talent, marketing and the like.
Taizhou has a population of more than six million and has serious deficiencies in healthcare resources given its economic development, population growth and healthcare demand. Taizhou Municipal Hospital was established in 1952 and is a tier-three class B comprehensive public hospital combining healthcare, scientific research and teaching. The Zanyang Hospital and Rehabilitation Center will be located in Jiaojiang District, downtown Taizhou, to meet the demand for healthcare and specialist rehabilitation in the region.
Source: Fosun Pharma.
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