MagX Health Completes Series C+ Financing with HSBC as Strategic Investor

Recently, MediTrust Health (Shanghai) Technology Co., Ltd. (“MediTrust Health” or the “Company”), China’s leading innovative platform for inclusive health medical services and coverage, announced the completion of its Series C+ financing round, introducing HSBC Group (“HSBC”) as a strategic investor. MediTrust Health’s strategic shareholders currently include Shanghai Pharmaceuticals, China Life Reinsurance Company, the Shanghai Biomedical Industry Fund, and several renowned domestic and international investment institutions. The addition of HSBC, a global financial institution, further expands the growth potential and future prospects of MediTrust Health.

Leveraging the opportunity of introducing HSBC as a strategic investor, MediTrust Health will focus on expanding high-quality medical service coverage, innovating product diversification, and upgrading technological intelligence, thereby broadening industrial development pathways and providing sustained momentum for the transformation and upgrading of China’s healthcare services and security platforms.

MediTrust Health, established in 2017, is a leading inclusive healthcare services and coverage platform in China. It has launched a diverse range of inclusive health insurance products and various medical health benefits and services, building an efficient service bridge among pharmaceutical companies, insurance providers, hospitals, and patients. This fosters a virtuous cycle among payers, product and service providers, and end-users, promoting the deep integration of high-quality medical resources and health insurance to deliver more comprehensive, affordable, and superior healthcare services and protection for every family.

Zhang Xiaodong, Founder and CEO of MediTrust Healthstated, “HSBC is one of the most renowned financial services institutions globally. We are delighted to have earned the trust and investment of the HSBC Group and to embark on multiple collaborations. Both parties are committed to fostering the continuous growth of mainland China’s healthcare market, thereby enabling more people to access higher-quality health services. This partnership allows us to combine our specialized expertise with HSBC’s global capabilities to jointly develop industry-leading healthcare security solutions. I look forward to collaborating with HSBC to accelerate innovation in our healthcare, medical security services, and technology products across both breadth and depth, contributing to the development of a multi-tiered healthcare security system in mainland China.”

Mark Tucker, Global CEO of Wealth and Personal Banking at HSBCstated, “Our investment in MediTrust Health reflects our strategic focus on enhancing health, protection, and wealth management capabilities in mainland China, particularly across the Greater Bay Area. Our customers seek high-quality, accessible healthcare services, aim to prepare financially for rising healthcare costs, and embrace a more proactive and healthy lifestyle. With its robust pharmaceutical network, expertise in helping customers secure comprehensive disease coverage, and innovative product and claims systems, MediTrust Health will enable us to better leverage these advantageous resources through this partnership.”

In recent years, driven by the combined effects of the COVID-19 pandemic and an accelerating aging trend, health awareness among Chinese citizens has significantly improved. Demand for health products and services has become multi-layered, diversified, and personalized. A growing number of residents are willing to pay out-of-pocket for care at specialized medical institutions or to access advanced medical technologies, and they demonstrate a strong willingness to purchase health management services.

The report to the 20th National Congress of the Communist Party of China also pointed out that we should advance the Healthy China Initiative, prioritize the protection of people’s health in strategic development, improve the social security system, establish a multi-tiered social security system that covers all citizens, integrates urban and rural areas, ensures fairness and uniformity, adheres to safety and regulatory standards, and is sustainable, and expand the coverage of social insurance.

Responding to Public Needs: MediTrust Health aligns its development with the overarching trend of building a multi-tiered medical security system, striving to promote high-quality and efficient growth in the broader healthcare industry. By empowering pharmaceutical companies, pharmacies, insurance firms, and medical institutions, MediTrust Health fully integrates various industry stakeholders to achieve seamless connectivity across the entire healthcare ecosystem. To date, the company’s medical and pharmaceutical network has covered over 300 cities nationwide, serving more than 200 million insurance policies. Its “Huimin Bao” (city-specific supplemental health insurance) programs are available in over 100 cities across China, benefiting nearly 2 million patients and providing users with more comprehensive, affordable, and high-quality healthcare services and products.

As a key practice of “inclusive health,” the Hui Min Bao projects in various regions, in which MediTrust Health has been deeply involved, are closely aligned with basic medical insurance. These initiatives have made positive and beneficial explorations in breaking the deadlock in coverage for individuals with pre-existing conditions and integrating diversified health management services. They have effectively alleviated the financial burden of medical treatment and medication on the public, assisted in establishing and improving a multi-tiered medical security system, and contributed to the construction of a “Healthy China.”

Amidst national policy support and the drive for transformational development, the platform economy has become a key instrument for establishing new infrastructure that is equitable, convenient, and inclusive. As China’s leading platform for inclusive healthcare services and coverage, MediTrust Health, backed by HSBC’s strategic support and leveraging the strengths of its existing shareholders, is better positioned and more confident in solidifying its first-mover advantage and closed-loop value ecosystem within the industry. This will enable higher-quality healthcare services to benefit every household, contributing to the construction of a future society with greater well-being.

As the Lunar New Year approaches, MediTrust Health and HSBC will jointly launch a charitable donation initiative to care for the elderly and safeguard their health. They will donate medical equipment and other supplies valued at RMB 2.7 million to selected small and medium-sized cities across China, primarily to support health protection for the local elderly population, bringing warmth and hope during the winter season.

MediTrust Health, established in 2017, is a leading innovative inclusive healthcare service and protection platform in China. Driven by smart technology and centered on its dual platforms of healthcare and insurance, it is committed to providing users and their families with more comprehensive, affordable, and high-quality healthcare services. As an innovator within the industry, MediTrust Health connects all stakeholders, adheres to a patient-centric approach to drive innovation in medical services, and assists in building a happier future society. Leveraging high-quality healthcare services, MediTrust Health helps every patient manage medical expenses more efficiently and provides a protective umbrella for every family.

HSBC Holdings plc is the parent company of the HSBC Group, with its headquarters in London. The Group operates offices in 63 countries and territories across Europe, Asia, North America, Latin America, and the Middle East and North Africa, serving customers worldwide. As of September 30, 2022, the Group’s assets totaled US$2,992 billion, making it one of the largest banking and financial services organizations in the world.