Shanghai Pharma Cloud Health Completes RMB 500 Million Series C Funding to Advance Specialized, Refined, and Innovative Services Across the Full Lifecycle of Innovative Drugs

Recently,SPH Health Commerce Announces Completion of CNY 500 Million Series C Financing, this round of financing was led byShanghai Comprehensive Reform Fund and ICBC Investment Jointly Lead the Round, with Shanghai Biopharmaceutical Fund Providing Continued Support, SPH Health Commerce continues to advance along the path of capitalization through deep mixed-ownership reform, further solidifying its leading position in providing full-lifecycle commercialization services for innovative drugs.

Since the beginning of this year, SPH Health Commerce has successively received numerous honors and commendations from the government, industry, and various sectors of society. In July, SPH Health Commerce was rated by the Shanghai Municipal Commission of Economy and Informatization as“2022 Shanghai Specialized, Refined, Differential, and Innovative Enterprises”; In August, the China Pharmaceutical Commercial Association released the "2022 Top 100 Pharmaceutical Distribution Retail Enterprises List," with SPH Health Commerce ranking among them.#1 in the Specialty Pharmacy Sector, in the previously announced “Top 100 Single-Store Professional Pharmacies Nationwide” list by China Pharmacy magazine,“Yiyao Pharmacy” Takes Three of the Top Five Spots with Its Flagship Stores in Shanghai, Hangzhou, and Guangzhou. In September, SPH Health Commerce once again made the list thanks to its innovative business model, professional services, and rapid growthFortune China’s “2023 Most Socially Impactful Startups in China”。

SPH Health Commerce is steadily advancing along the path of continuously deepening mixed-ownership reform and comprehensively initiating strategic business transformation and upgrading. Currently, SPH Health Commerce has established a complete, integrated innovative drug supply chain system, with the number of partnered innovative pharmaceutical companiesOver 300, number of patients servedOver 6 million, and achievedOver 80%The first innovative drug deal has been successfully implemented, establishing SPH Health Commerce as a specialized service platform for innovative drugs with broad recognition from innovative pharmaceutical companies and a comprehensive portfolio of product resources.“New Specialty Drugs · Find YiYao”As an innovative solution addressing the “drug sourcing” challenges faced by pharmaceutical companies upstream and downstream in the supply chain, patients, medical institutions, and payers, Shanghai’s “Yi Yao·Comprehensive Flagship Store” has also become a benchmark for phenomenon-level professional pharmacies. Meanwhile, SPH Health Commerce, centering on the needs of pharmaceutical companies and patients, has simultaneously established a digital service system tailored to pharmaceutical companies, as well as an innovative payment and health management service system designed for patients. The company has achieved service integration with dozens of insurance providers and servedOver 50Internet Hospital of a Grade A Tertiary Hospital,Nearly 200Medical institutions.

Liu Bin, CEO and President of SPH Health Commercestated that China’s innovative drug industry is increasingly focusing on the implementation of a commercialization ecosystem, with clear and accessible business models and scalable application scenarios becoming the most critical drivers for its sustainable development. Following the completion of this round of financing, and with the continued empowerment from both new and existing shareholders, SPH Health Commerce willContinuous Integration of Internal and External Resources and M&A Across All Stages of the Innovative Drug Lifecycle, further amplifying the cluster effect of the industrial chain. Meanwhile, the company will continue to drive model innovation, service innovation, and technological innovation,Strengthen the influence of the “Yi Yao” ecosystem cluster and comprehensively improve the accessibility of innovative drugs,Actively promote the transformation of China's pharmaceutical industry toward high-quality development.

Shanghai Comprehensive Reform Fundstated that with the deepening reform of separating prescribing from dispensing in China, the Shanghai Comprehensive Reform Fund has continued to deepen its engagement in the healthcare industry and remains optimistic about the growth potential of the out-of-hospital market for innovative drugs. SPH Health Commerce, asA Landmark Case of Mixed-Ownership Reform in State-Owned Enterprises, leveraging its robust professional pharmacy service network, has established a reputation in the industry forThe Preferred Brand for Full-Cycle Services in Innovative Drugs. Leveraging its professional service capabilities, the company has centered aroundPatient Side, Pharmaceutical Company Side, Payer Sidean integrated service system across diverse scenarios. Going forward, the Shanghai Comprehensive Reform Fund will continue to leverage the advantages of state-owned capital and central-local cooperation, supporting the company in deepening its mixed-ownership reform process and jointly scaling the lofty peaks of industrial development.

Liu Dawei, President of Shanghai Biomedical Fundstated that after more than seven years of continuous deep cultivation, SPH Health Commerce hasAchieved a leading position in the field of full-lifecycle services for innovative drugs. The suite of value-added patient services provided by SPH Health Commerce has further enhanced the convenience and safety of patients’ use of prescription drugs. Leveraging the “Internet+” model, SPH Health Commerce also supports medical reform and innovative community health service models, assisting government agencies in implementing the policy of separating prescribing from dispensing. AsLead Investor in Series B and Existing Shareholders Increasing Their Stakes, we are highly optimistic about the future development prospects of SPH Health Commerce. We look forward to the company leveraging innovative operational models and service approaches in the pharmaceutical industry to bring greater opportunities and growth potential to the sector, while delivering enhanced benefits and convenience to patients, pharmaceutical companies, hospitals, and other stakeholders.

Li Yongzhong, Executive Director and Executive President of Shanghai Pharmastated that Shanghai Pharma, as"Fortune Global 500, Top 50 Global Pharmaceutical Companies", always adhering to"Integration of Industry and Finance, Innovation-Driven Development", based in Shanghai and benchmarked against global standards, we actively build competitive advantages across the entire pharmaceutical industry chain—encompassing both pharmaceutical manufacturing and commercial distribution—to serve national strategic initiatives. SPH Health Commerce, asA Key Pilot and Vanguard in Shanghai Pharma’s Innovative Exploration, has established a full-lifecycle commercialization service platform for innovative drugs, and through the exploration of integrated innovative services, provides a valuable and accessible sales and service network to support the robust development of innovative pharmaceuticals.Shanghai Pharma will also continue to empower SPH Health Commerce., to support Shanghai in further building itself intoGlobal Hub for Biopharmaceutical R&D Economics and Industrializationplay a positive and proactive role.

Shanghai State-owned Assets and State-owned Enterprises Comprehensive Reform Pilot Private Equity Fund Partnership (Limited Partnership) (hereinafter referred to as“Shanghai Comprehensive Reform Fund”) was initiated and established under the leadership of China Reform Holdings Corporation, with cornerstone investors including China State-Owned Enterprise Mixed-Ownership Reform Fund Co., Ltd. (a subsidiary of China Chengtong Holdings Group), Shanghai State-owned Capital Investment Management Co., Ltd. (a wholly-owned subsidiary of Shanghai State-owned Capital Investment), and Shanghai Huangpu Guiding Fund Equity Investment Co., Ltd. The initial target total scale is RMB 5 billion. It aims to build an ecosystem by investing in and financing high-quality projects in the Shanghai region, create industrial chain clusters in key industries, and support the reform and development of Shanghai’s state-owned assets and enterprises as well as industrial transformation and upgrading, in alignment with the requirements of Shanghai’s new round of state-owned asset and enterprise reforms and its “3+6” modern industrial system.

Shanghai Gongrong Futeng Yunkang Private Equity Fund Partnership (Limited Partnership) (hereinafter referred to as"Gongrong Yunkang") Managed by ICBC Investment, a wholly-owned subsidiary of Industrial and Commercial Bank of China Limited. Established in September 2017 with a registered capital of RMB 27 billion, ICBC Investment is one of the financial asset investment companies with the largest registered capital in the industry. It proactively integrates into and serves major national strategies, including building a manufacturing powerhouse, achieving carbon peaking and carbon neutrality, reforming state-owned enterprises, revitalizing rural areas, and promoting coordinated regional development, thereby facilitating the high-quality development of the real economy.