YueMi Technology, Sinopharm Holding, and ChenXi Health Sign Strategic Cooperation Agreement to Innovate the 'Patient-Physician-Pharma-Payer' Commercialization Model

Recently, the signing ceremony of the cooperation agreement between Yuemi Technology and Sinopharm Holding’s Centralized Procurement Center, as well as the signing ceremony of the strategic cooperation agreement between Yuemi Technology and Chenxi Health, was grandly held in Shanghai. The three parties will base their collaboration on resource sharing and strategic synergy, engaging in strategic cooperation in areas such as digitalization of pharmaceutical commerce, digital transformation of pharmaceutical enterprises, commercial insurance and innovative payment solutions, and the construction of a value chain system integrating patients, healthcare providers, pharmaceutical companies, and insurers. Together, they aim to explore innovative models in pharmaceutical marketing, commercialization, and commercial insurance payment, thereby driving the transformation and upgrading of the pharmaceutical industry.

As healthcare insurance reforms continue to deepen, a combination of policies such as volume-based procurement and pilot DRG (Diagnosis-Related Group) payment systems is compelling pharmaceutical and medical device companies to undergo strategic transformation and digitalization. Meanwhile, trends such as population aging, big data, and artificial intelligence are driving the rapid development of internet healthcare, giving rise to new demands within the healthcare industry under this evolving landscape. The previously independent segments of pharmaceuticals, distribution, services, and insurance payment can no longer meet the needs of various stakeholders—including pharmaceutical and medical device manufacturers, distributors, doctors, and patients—in terms of efficiency, cost, service, and quality. This has led to a trend characterized by boundary-breaking and collaboration. The in-depth cooperation among Yuemi Technology, Sinopharm Holding, and Chenxi Health will fully integrate the three parties’ product and service capabilities, industry expertise, customer resources, channel resources, and extensive ecosystem partners. Under the dual influence of healthcare insurance reform and the rise of internet healthcare, they will explore and collaborate in areas such as patient and physician engagement, pharmaceutical solutions, commercial insurance and innovative payment models, digital marketing transformation for the pharmaceutical industry, and the construction of commercial collaboration platforms for specialized disease fields.

Zhao Min, General Manager of the Innovation Center of Sinopharm HoldingsHe stated, “2023 marks the inaugural year for the comprehensive implementation of the spirit of the 20th National Congress of the Communist Party of China, a pivotal year for bridging progress in the execution of the 14th Five-Year Plan, and also the 20th anniversary of Sinopharm Group Co., Ltd. (China National Pharmaceutical Group Corporation) as it embarks on a new journey. As integral components of Sinopharm Group, the National Centralized Procurement Center and the Innovation Center will actively respond to the call for accelerating the construction of a Digital China. We will fully leverage our robust supply chain services and marketing management capabilities to establish an open and collaborative ecosystem, while expediting the development of a digital-driven innovative service model. Capitalizing on our competitive advantages in supply chain management, we will engage in deep cooperation with outstanding ecosystem partners such as Yuemi Technology and Chenxi Health in areas including chronic disease management, rehabilitation management, internet hospitals, prescription circulation, and commercial health insurance.”

Qiao Minghui, Founder of Yuemi Technologystated: “For the past seven years, Yuemi Technology has focused on the digital transformation of pharmaceutical marketing, covering more than 150 leading pharmaceutical and medical device companies and over 500 product pipelines, thereby building a comprehensive matrix of digital pharmaceutical marketing products and solutions. We sincerely appreciate the support and trust of Sinopharm Holdings and Chenxi Health, with whom we have established a strategic partnership. Leveraging this collaboration, we will deeply integrate the products, services, capabilities, and resources of all three parties. Through an efficient and collaborative mechanism, we aim to better provide end-to-end services to a broader base of pharmaceutical and medical device enterprise clients. Aligned with our strategic layout to construct a ‘patient–physician–pharmaceutical–insurance’ value chain, we will deliver services ranging from omnichannel promotion for patients and physicians, integrated patient–physician solutions, to MedOS, a specialized disease marketing collaboration platform, serving multinational pharmaceutical companies, domestic integrated pharmaceutical enterprises, and Biopharma firms.”

Chenxi Health COO Liu AnHe stated, “As a key incubated enterprise under Sinopharm Group, Chenxi Health focuses on innovation and integration in the pharmaceutical and health insurance sectors. It has currently implemented inclusive supplementary medical insurance (Huiminbao) programs in over 20 cities, including Beijing, Tianjin, and Shanghai; collaborated with insurance companies to launch a diverse range of single-disease insurance products; and established a comprehensive, one-stop service network covering the entire lifecycle of specialty drugs. Through strategic cooperation with Yuemi Technology, we aim to expand our partnerships with more pharmaceutical and medical device manufacturers as well as healthcare institutions. By leveraging complementary strengths and engaging in deep collaboration in areas such as health insurance, innovative payment solutions for medicines, and health management, we strive to create more affordable, convenient, and professional medical services, pharmaceutical care, and coverage for a broader patient population.”

Li Ke, General Manager of Yaojin Capital“The digital transformation of pharmaceutical marketing and commercialization is an unstoppable trend, having rapidly grown into a market worth hundreds of billions of yuan. We maintain a long-term positive outlook on this sector. Pharmaceutical digitization is a key strategic priority for Sinopharm Group Holding Co., Ltd. As leaders in the fields of digital pharmaceutical marketing, commercial health insurance, and innovative payment solutions, Yuemi Technology and Chenxi Health have extensive opportunities for business collaboration with Sinopharm Group Holding. Yaojin Capital made strategic investments in Yuemi Technology and Chenxi Health at their early stages and, post-investment, has introduced industrial resources and partnership opportunities from Sinopharm Group Holding and the ecosystem portfolio companies of Yaojin Capital, thereby continuously enhancing the core competitiveness of its investees. Yaojin Capital will continue to empower and support Yuemi Technology and Chenxi Health, facilitating their rapid development.”

Sinopharm Group Co., Ltd. was established in January 2003 and listed in Hong Kong in September 2009 (01099.HK). As a core enterprise of China National Pharmaceutical Group Corporation—the only central pharmaceutical and health industry group under the direct administration of the State-owned Assets Supervision and Administration Commission of the State Council, with life and health as its primary business—Sinopharm Holdings owns two A-share listed companies, Sinopharm Co., Ltd. and Sinopharm Accord, along with more than 1,000 other subsidiaries. Over the years, Sinopharm Holdings has continuously advanced the decentralization of its distribution network and strengthened its network layout. Its distribution and delivery networks for pharmaceuticals and medical devices cover all 31 provinces, municipalities, and autonomous regions across China, ranking first in market share in 20 provinces, with a coverage rate of 97% at the prefecture-level administrative divisions and 98% at the county-level administrative divisions. In 2021, it ranked 22nd on the Fortune China 500 list and 1st in the pharmaceutical industry on the Top 500 Most Valuable Chinese Brands list.

Sinopharm Holding Global Procurement and Supply Chain Service CenterThe Sinopharm Holding Global Procurement and Supply Chain Service Center serves as the core business management and operational platform for Sinopharm Holding. It is responsible for the national import, procurement, and distribution of most strategic product categories, as well as providing unified nationwide services. In accordance with the development requirements outlined in Sinopharm Holding’s 14th Five-Year Strategic Plan, the Center continuously integrates procurement resources, taps into internal potential, and strengthens operational management. It strives to expand new business models such as deep marketing and new business development, thereby enhancing the precision, breadth, and depth of its operations. Furthermore, it is committed to building five major functional platforms: an import and export business platform, a supply chain integration platform, a marketing service platform, an innovation incubation platform, and a medical aesthetics platform.

Yuemi Tech: A Provider of Data-Driven Integrated Solutions for Pharmaceutical MarketingFocusing continuously on the digitalization of pharmaceutical marketing, Yuemi Tech empowers the digital transformation of pharmaceutical and medical device enterprises. It achieves this by offering SaaS-based products—such as private domain engagement for doctors and patients, integrated doctor-patient services, data middle platforms for pharmaceutical marketing, and business middle platforms for pharmaceutical marketing—as well as specialized integrated solutions including sales conversion optimization, physician insights, medical knowledge graphs, and MedOS.

A health technology company incubated and invested in by Sinopharm Holding, focusing on innovative integration within the pharmaceutical, healthcare, and insurance sectors. Through product and business model innovations in the commercial insurance PBM (Pharmacy Benefit Management) space, it is committed to building a leading domestic platform for commercial insurance services and innovative payment solutions. The company engages in deep collaborations with numerous pharmaceutical companies and insurers in areas such as commercial insurance and innovative payment models, constructing an integrated ecosystem closed loop encompassing healthcare, pharmaceuticals, and insurance.

Yaojin Capital is a joint venture established by Sinopharm Group Co., Ltd., a leading enterprise in China’s medical industry distribution, and CICC Capital, the private equity investment platform under China International Capital Corporation (CICC). Aligned with Sinopharm’s strategic objectives, Yaojin Capital leverages Sinopharm’s extensive resources in the healthcare industry and combines them with CICC’s robust capital strengths. By utilizing its team’s professional expertise in investment and capital integration, Yaojin Capital invests in high-quality enterprises in fields such as innovative medical devices, innovative drug R&D, innovative medical services, and pharmaceutical digitalization.