Maider Medical: Industrial Machinery for Medical Devices Files IPO Prospectus
With the advancement of China’s economic and healthcare standards, the medical device industry has experienced rapid growth and intensified competition, imposing higher demands on enterprises in areas such as product design and mass production capabilities. Particularly in the field of disposable medical devices, the ability to mass-produce high-quality products is an indispensable factor for enterprises.
Under the automated production model, the cost of medical consumables can essentially be halved. Moreover, compared with manual labor, automated equipment offers superior performance in terms of production costs and efficiency. However, as most medical device enterprises in China are small and fragmented, lacking the capacity for large-scale automated production, third-party automated manufacturing services have emerged.
As a pioneer in the niche market of intelligent equipment for medical consumables, Medico Medical was established in 2003 to seize emerging opportunities and has been deeply engaged in the industry for nearly two decades. Amid the current wave of development in the medical device sector, automated and intelligent manufacturing have risen to prominence, granting Medico Medical an absolute first-mover advantage.
Maide Medical focuses on the research and development, production, sales, and service of intelligent equipment for medical consumables. The company’s intelligent equipment is primarily used for the automated assembly and inspection of medical consumables. Maide Medical possesses mature technologies and product lines in intelligent equipment for safe infusion and blood purification, and has established three core business systems internally: intelligent equipment, professional software, and process development.
In 2017, the company’s “Intelligent Complete Assembly Equipment for Medical Indwelling Needles” was honored as China’s first domestically developed set of its kind. In 2020, Maide Medical’s “Intelligent Complete Assembly Equipment for Medical Dialyzers” and the “Automatic Spinning Line for Hollow Fiber Membranes Used in Hemodialysis” received the same distinction, breaking the foreign technological monopoly.
To date, the company has served more than 100 renowned domestic and international enterprises, including Fresenius, Terumo, Weigao, Kindly, and Sanxin Medical, with its business presence spanning four continents. In 2021, the company achieved annual revenue of RMB 315 million.
MedTech Established in 2003，To date, it has been nearly20 years.
At that time, the medical device industry was still in its early stages of development, with high-tech products such as CT scanners and vascular stents dominated by imports. According to an analysis by the Southern Medical Economic Research Institute, China had only 9,009 medical device manufacturers in 2003. Nevertheless, the domestic medical device market expanded rapidly, with total annual sales growing at a rate of approximately 9% per year.
Against this backdrop, a growing number of players are investing in medical device R&D, striving to be the first movers in niche segments. The evolution of the medical device sector enabled Lin Junhua, founder of Maide Medical, to recognize the potential of smart equipment. He became convinced that the production of medical consumables would inevitably shift toward intelligence and automation, prompting him to anchor his strategy in the healthcare field and pursue deep, sustained development.
From a medical device technician to workshop director, and eventually resigning to launch his own venture, Lin Junhua recognized that a research and development (R&D) team is critical to establishing a company with proprietary technologies. In 2006, Lin traveled alone to Shenzhen to build his “army,” assembling an R&D and management team of nearly 90 members. He later returned to Taizhou to focus on R&D, injecting fresh talent into the founding team.
Facing the team he personally built, Lin Junhua cherishes his reputation dearly, and Maide Medical has established a comprehensive incentive system. Core members of the company participate in equity incentives; employees who win awards in various skill competitions receive bonuses equivalent to their prize amounts, and those who obtain professional titles are granted salary increases. The company’s core management team remains stable, with all members promoted from entry-level positions within the company and boasting over ten years of service.
In December 2019, Maidel Medical was listed on the STAR Market. Currently, the company has more than 600 employees, including over 140 technical staff. Headquartered in Yuhuan, Zhejiang, it has established subsidiaries in Shanghai, Tianjin, and Germany, providing automated assembly and inspection services for medical consumables on a global scale.
A manufacturer of intelligent equipment for medical consumables must possess comprehensive capabilities in R&D, marketing, and service. In addition to foundational knowledge in mechanical manufacturing and electrical engineering, it must also understand the composition, structure, and functional principles of medical consumables, while staying closely aligned with clinical practice to respond promptly to emerging needs.
In the course of intelligent development of medical consumable equipment, Maide Medical has established a comprehensive R&D system that integrates eight major modules—regulatory and process validation, mechanics, mechanical engineering, electrical engineering, software, machine vision, optics, and materials science—featuring multidisciplinary cross-integration. Leveraging the advantages of localized automated production services, the company provides downstream medical device clients with end-to-end solutions ranging from consulting to after-sales support, and establishes dedicated task forces to ensure rapid response to customer needs.
The company targeted the markets of safe infusion and blood purification during the early stages of industry development. Among these, intelligent equipment for safe infusion is primarily used in the production and assembly of medical consumables such as indwelling needles, insulin needles, blood collection needles, urinary catheters, infusion sets, and central venous catheters. However, safe infusion consumables are characterized by soft materials, complex shapes and structures, and diverse material compositions. Moreover, manufacturers in this sector are generally small in scale and still rely heavily on manual and semi-automatic production and assembly, indicating significant growth potential.
Furthermore, in recent years, low-value consumables such as indwelling needles and infusion sets have been included in provincial-level volume-based procurement programs. Compared with high-value consumables, low-value consumables are characterized by lower unit prices but higher usage volumes and relatively low barriers to hospital entry. Consequently, they have become key revenue drivers for many manufacturers. The ability to rapidly mass-produce these items while ensuring consistent quality has made them a strategic focus for relevant enterprises. Maide Medical’s intelligent equipment enables automated assembly and inspection, thereby enhancing the stability and reliability of these consumables. Through sustained development, safe infusion devices have become the company’s flagship product line.
In 2016, Maidi Medical entered the hemodialysis market and developed an intelligent assembly line for medical dialyzers, marking the company’s entry into a period of rapid growth.
The number of patients with diabetic nephropathy requiring dialysis in China has been increasing year by year, yet the proportion of patients actually undergoing dialysis remains low. In recent years, the hemodialysis market has developed rapidly, with medical insurance reimbursement rates reaching approximately 90%, and the localization rate of certain products is gradually rising. In 2020, the market size for high-value medical consumables used in blood purification in China was approximately RMB 9.7 billion.
If infusion devices are Maide Medical’s classic offerings, then hemodialysis devices represent the company’s seed products, holding significant growth potential.
As a critical consumable for hemodialysis,Hemodialyzers present high technical barriers, and correspondingly, stringent requirements are imposed on production assembly processes and workflows. Maidong Medical’s blood purification equipment is primarily used for the assembly, testing, and packaging of hemodialyzers and dialysis circuits, as well as for the spinning of hollow fiber membranes. The company has overcome key challenges in the fully automated encapsulation and assembly of hemodialyzers and the fully automated manufacturing of hollow fiber membranes, breaking the monopoly of imported products and achieving domestic production of hemodialyzers in China.
By successfully implementing several automation projects for hemodialyzers with annual outputs in the tens of millions, Maide Medical has reduced production costs for downstream dialyzer manufacturers, lowering the price per dialyzer from over one hundred yuan to just a few dozen yuan.
Throughout its development, Maid Medical has consistently adhered to independent research and development. To date, Maid Medical has mastered core technologies including the shaping of medical soft catheters, the encapsulation and assembly of dialyzers, the control of performance indicators for dialysis membranes, and the efficient collection of data on GMP data management platforms.A total of 239 patents have been granted, including 155 invention patents, 83 utility model patents, and 1 design patent; additionally, 38 software copyrights have been obtained.。
Currently, the company continues to increase its R&D investment. According to Maide Medical’s 2021 annual report, the company’s total R&D expenditure in 2021 amounted to RMB 38.459 million, accounting for 12.19% of its revenue for the same year.
Under a comprehensive suite of automated production solutions for medical consumables, Maidi Medical achieved steady revenue growth, with its 2021 revenue reaching RMB 315 million, a year-on-year increase of 19.9% compared to 2020. Meanwhile, the company maintained a high gross profit margin, which stood at 50.12% in 2021.
To date,"Medicool has customized over 3,000 systematic solutions for hundreds of clients worldwide."In March 2022, the Medical Polymer Products Professional Branch of the China Association for Medical Devices Industry provided the following assessment: The company’s automated production lines for “Maider” brand infusion sets, intravenous catheters, insulin needles, and dialyzers are sold throughout China and exported, exerting significant influence within the industry. More than 80% of medium-to-large medical polymer consumables manufacturers in China are the company’s clients, and its products ranked first in national market share within the same industry for three consecutive years in 2019, 2020, and 2021.
During discussions on the commercialization of intelligent equipment in key focus areas such as combination drug-device products and clinical diagnostics (including smart systems for pre-filled syringes, prefilled syringes, insulin pens, inhalation drug delivery devices, and IVD products), Lin Junhua, founder of MaiDe Medical, stated: “In the future, MaiDe Medical will develop an integrated platform to continuously conduct R&D across its full portfolio of medical products in timely response to market demands.”
With China’s economic growth and advancements in healthcare, the medical device market is poised for continuous expansion and increasingly intense competition. Original technology is no longer the sole competitive advantage; for instance, large-scale hospital adoption of medical consumables has made mass production a key indicator of a company’s strength. Intelligent and automated manufacturing has become an inevitable trend, driving sustained growth in the sector of smart equipment for medical consumables. Leveraging its extensive experience and comprehensive solutions, Maidi Medical is well-positioned to further solidify its leadership position.