On April 10, Winner Medical Co.Ltd(300888) announced that in order to further enrich the company’s product line, expand business channels outside China and improve the company’s strategic layout, the company plans to use its own funds of 728 million yuan to acquire a total of 55% equity of Longtai medical Winner Medical Co.Ltd(300888) said that the acquisition is highly consistent with Winner Medical Co.Ltd(300888) ‘s strategy of building a leader in the high-end wound dressing industry, and forms scale and synergy with the help of the advantages of both sides in customers, markets, products, R & D and production.
Longtai medical’s main business is research and development, production and sales of high-end wound dressing (including silicone foam, hydrocolloid, silicone gel, hydrogel, film applicator and stoma). In 2021, Longtai medical sales revenue exceeded 350 million yuan, including silicone gel foam dressing and other high-end wound dressing and stoma products to achieve sales revenue of over 280 million yuan, and is in the leading position in China’s high-end wound dressing enterprises.
Longtai medical has been established for 10 years, while Winner Medical Co.Ltd(300888) has a history of 31 years. It has ranked among the top three in the export of medical dressings in China for many years, covering more than 110 countries. Both sides are the first batch of Companies in China to develop, produce and export high-end wound dressings, and have long-term high-quality customers in this field. The two sides form a leading effect through sales and product research and development, which is expected to obtain greater market share and higher income growth.
According to the announcement, Longtai medical has more than 600 hospital customers, while Winner Medical Co.Ltd(300888) covers more than 4000 hospitals, and its brand reputation is recognized by the top 100 hospitals in China. In addition to Winner Medical Co.Ltd(300888) existing wound care, operating room consumables, disease control and protection products and disinfection and cleaning products, the two sides work together to create a comprehensive one-stop service and strive to become the preferred brand of Chinese hospitals.
Winner Medical Co.Ltd(300888) said that it would empower Longtai medical based on its own brand strength, membership base, all-round sales channels and digital operation ability to solve the pain points for users and create relevant home health care solutions.
At the same time, Li Jianquan, chairman of Winner Medical Co.Ltd(300888) said at the signing ceremony of the equity transfer agreement that the most important reason why Winner Medical Co.Ltd(300888) and Longtai medical can go hand in hand is that both sides have a common mission and pursuit. The essence of the medical enterprise is to reduce the pain of patients as much as possible, give patients better care and medical staff better protection. I believe that the strong combination of Winner Medical Co.Ltd(300888) and Longtai medical will create a better future. (Zhu xianni)
