Zhuozhuang Medical Group Releases 'Billion Health' Initiative and Files IPO Prospectus After Eight Years of Supply-Side Innovation

As the fifth Chinese Doctors' Day approaches, Zhuozhuang Doctor Group also welcomes8th Anniversary Celebration. August 18,Zhuozhuang Doctor Group’s 8th Anniversary Celebration and the Official Announcement Press Conference for Its Hundred-Billion Healthcare Initiative Held in Yantian, ShenzhenGrandly held.

At the event, Zhang Liangping, Chairman of Zhuozhuang Doctor Group; founding partners Dr. Yang Donghong and Dr. Shan Peng; Hu Yang, Chairman of Dejiang Medical; and founding partners Zhang Xukai, Chen Yao, and Zhang Yancheng jointly unveiled the plaque for “10 Billion Healthcare.”

Baiyi Medical Health, jointly initiated by the Zhuozhuang Physician Group and Dejiang Medical, derives its name from the vision of “providing hundred-yuan health management to benefit hundreds of millions of people.” By integrating master’s and doctoral-level physicians specializing in both Traditional Chinese Medicine and Western medicine with modern physical therapy techniques, it has established health management clinics, a Pain Research Institute, and a Pain Management Academy. It delivers third-party on-site medical and nursing services as well as competency-based embedded clinical training to healthcare institutions through easily replicable and effectively applied holistic solutions.

Baiyi Yijian will provide robust support and strengthen grassroots capacity in two critical areas—postoperative management and pain management—to enhance medical efficiency and quality, while reducing operational costs and overall expenditure for healthcare services. Meanwhile, Baiyi Yijian will operate its health tea space brand under a “business + community” model, offering execution and training for comprehensive solutions, thereby improving public accessibility to and sense of gain in health management and preventive care.

In addition, the founding team of Biran Medical attended the event and entered into a strategic cooperation agreement with Baiyi Yijian. As the first medical institution in China to obtain a license for third-party nursing centers, Biran Kangyang Medical addresses critical needs in postoperative management and pain management. Rehabilitation centers, wellness and elderly care facilities, nursing homes, and long-term care institutions within the industry require similar solutions and services; the onboarding of Biran Medical has further expanded the Zhuozhuang ecosystem.

According to available information, Zhuozhuang Doctor Group was established in 2014 as China’s first medical group focused on the supply side of healthcare services, jointly founded by medical industry associations. With the assistance of several consultant physicians in Shenzhen, and with the full-time involvement of two young ultrasound specialists, Dr. Li Shanshan and Dr. Yang Donghong, the group has expanded from promoting the integration of ultrasound diagnosis and treatment into a multi-specialty practice combining traditional Chinese and Western medicine, withMedical Diagnosis and Clinical Decision-MakingA physician partnership platform centered on core services.

Previously, the Zhuozhuang Physician Group identified that China’s healthcare industry suffers more from a shortage of medical talent than from an insufficient number of expanding healthcare institutions. Therefore, the Zhuozhuang Physician Group has made “helping more medical students become physicians” its mission, striving to serve as a supplementary and constructive force on the healthcare supply side and providing targeted support to underdeveloped cities and counties that lack medical schools.

Currently, Zhuozhuang Doctor Group has explored and established the Zhuozhuang ecosystem with initial endogenous vitality, along with an organizational structure designed for collaborative cost reduction.

First, Zhuozhuang Doctor Group has invested in, incubated, and empowered innovative projects such as the Ultrasound Physician Group, Endoscopy Physician Group, Health Management Physician Group, Badachu Medical Aesthetics Physician Group, Baiyi Medical Health, Sichuang Medical, Ultrasound Education Technology, and Shenyihui through venture capital.

Secondly, Zhuozhuang Doctor Group has attracted an increasing number of physicians to become outstanding Zhuozhuang Physicians through its innovative physician practice model, thereby broadening the value chain for physician-led ventures.

Finally, Zhuozhuang Doctor Group also provides users with efficient and convenient medical and health services by establishing offline entities such as Health Management Clinics, Chashou Premium Products, and Sleep Spaces.

(Zhuozhuang Ecology)

Leveraging the Zhuozhuang ecosystem, the Zhuozhuang Doctor Group has established an ecologically synergistic supply of multi-disciplinary healthcare services that integrate Traditional Chinese Medicine (TCM) with Western medicine. Building upon foundational services in ultrasound medicine, gastrointestinal endoscopy, otolaryngology, vascular surgery, cardiology, reproductive and obstetric-gynecological care, and integrated TCM-Western medicine, the group has developed comprehensive, end-to-end solutions tailored to diverse business scenarios. For instance, in postoperative management, the group offers “Deep Vein Thrombosis Prevention and Treatment” based on visualized precision ultrasound and vascular surgery expertise; in pain management, it provides “Ballistic Shockwave Therapy for Pain Conditions” by combining visualized precision ultrasound with integrated TCM-Western medicine approaches.

Currently, the medical diagnostics team of Zhuozhuang Doctor Group has participated in multiple projects through the PHP model, providing third-party medical services to dozens of healthcare institutions within the region, and empowering these institutions in the disciplines of ultrasound medicine and endoscopic diagnosis.

It is worth noting that Zhuozhuang Doctor Group is one of the few physician groups in China whose members invest their own capital and provide the medical talent required for the overall solution and implementation plan of “County-Level Medical Diagnostic Centers” supporting regional medical centers.

Based on this, Zhuozhuang Doctor Group will provide medical institutions with low-cost, high-efficiency, high-value, and high-quality third-party medical services.

As a third-party healthcare service and solutions provider dedicated to filling gaps and strengthening capabilities, Zhuozhuang Doctor Group achieved overall break-even in 2019 and embarked on the practice of partnering to invest in physical medical institutions.

In the early stages of its operations, Zhuozhuang Doctor Group achieved strong results; however, the subsequent outbreak of the pandemic severely hindered the development of the physical medical institutions it had invested in.

Based on this, Zhuozhuang Doctor Group adjusted its development strategy by withdrawing from and shutting down nearly all physical medical institution projects in which it had participated or invested independently, shifting its focus instead to core business metrics such as personnel efficiency, demand for solutions, and the quality and quantity of platform-affiliated physicians.

To enhance business metrics, Zhuozhuang Doctor Group has innovatively proposed a partnership-based medical practice model, drawing on the operational frameworks of law and accounting firms while integrating the unique characteristics of the healthcare industry.

In simple terms, Zhuozhuang Doctor Group leverages its “Tier-3A Hospital Master’s and Doctoral Degree Physician Venture Incubator” to cultivate more Zhuozhuang physicians. These physician teams contribute capital and expertise as partners in establishing medical practices, replicating operational models based on Zhuozhuang Doctor Group’s proven experience. For instance, Zhuozhuang’s ultrasound medical services have expanded from Shenzhen to cities such as Shanwei and Changsha, while its medical service offerings have broadened from ultrasound to include endoscopy, health management, and other areas.

It is reported that the partnership model, in which core members contribute both capital and effort, along with the internal partnership model for urban projects, provides a stable and sustainable foundation for the long-term operation of healthcare projects, creating greater opportunities for boundary-less and perpetual business operations. Furthermore, physician-led partnerships in healthcare are more trustworthy than any previous models of medical practice, effectively addressing issues related to subjective initiative, medical quality, risk control, patient acquisition, and operational stability.

Additionally, in response to the evolving pandemic landscape, Zhuozhuang Doctor Group has transformed its previously established health management clinics into joint-venture “Health Tea Spaces.” This initiative aims to closely engage the “business + community” customer segment by focusing on health management and preventive care. The Health Tea Spaces, pioneered by the doctor group and physician practices, are primarily located near subway transfer stations and tertiary hospitals. They offer services such as business tea lounges, offline studios for internet hospitals, pain management, and skincare management, thereby serving as a specialized supplement to the medical services provided by community health centers.

Nowadays, Zhuozhuang has established a certain level of brand strength. In the competition for talent with public and non-public medical institutions, it is able to attract more outstanding entrepreneurs and practitioners in the healthcare field. The CEOs of its Microscopy Physician Group and Health Management Physician Group are both medical doctors from Sun Yat-sen University and Peking Union Medical College, respectively. Meanwhile, most of the newly added operational team members at Zhuozhuang hold master’s degrees or have overseas study and work experience. It is expected that Zhuozhuang Physician Group will cultivate and attract more high-caliber talents in the medical field in the future.

Currently, the Zhuozhuang Physician Group comprises the Zhuozhuang Ultrasound Physician Group, the Zhuozhuang Endoscopy Physician Group, the Zhuozhuang Health Management Physician Group, the Health Management (Shenzhen) Clinic, and the Zhuozhuang Physician Practice, offeringMedical Diagnosis, Healthcare Decision-Making,Health management and other high-quality services.

Among them, the Zhuozhuang Ultrasound Physicians Group is the first ultrasound physicians group registered and established in mainland China, co-founded by the Shenzhen Society of Ultrasound Medicine Engineering and several chairpersons. It is a core member of the Chinese Physicians Group Alliance. Currently, the group primarily focuses on the fields of diagnostic ultrasound medicine and interventional therapy, providing specialized skills training and clinical competency training for ultrasound medical professionals, multi-site medical practice across regions, advisory management for departments of ultrasound medicine and ultrasound intervention, productization of diagnosis and treatment services in the field of ultrasound medicine, and health management solutions.

Zhuozhuang Endoscopy Physician Group, established in 2018, is a physician partnership platform created by Zhuozhuang Physician Group. It specializes in the diagnosis and treatment of otolaryngological diseases, precision examination of digestive system disorders, and early screening for gastrointestinal cancers. The group distinguishes itself through its expertise in otolaryngological endoscopy and painless gastroscopy and colonoscopy. Its medical team comprises MDs from renowned tertiary hospitals, bringing extensive specialized clinical experience.

Zhuozhuang Physician Group was co-founded by multiple clinicians with backgrounds in Grade III Class A hospitals. As a group of general practitioners integrating Traditional Chinese Medicine (TCM) and Western medicine, it primarily provides medical and health services including family and corporate health management, TCM-Western integrative conditioning and physiotherapy, and cross-city emergency and critical care services for communities. The group is committed to delivering personalized solutions for family and corporate health management, matching accessible, clinical-grade private physicians to “thousands of households,” and providing convenient, professional, and continuous medical and healthcare services.

In addition, the Zhuozhuang Physician Group collaborates with hospital groups, local governments, and healthcare innovation enterprises to build the Zhuozhuang ecosystem. For instance, the Zhuozhuang Endoscopy Physician Group has established partnerships with hospital groups and medical institutions, leveraging Multidisciplinary Team (MDT) consultations to coordinate comprehensive diagnosis and treatment for complex and rare diseases, thereby achieving one-stop solutions.

Amid multiple suspensions of clinical services due to the COVID-19 pandemic,Zhuozhuang Ultrasound Physicians Group Partners with a Public Healthcare Group, with its ultrasound examination business growing by 80% year-on-year in 2020 and 18% year-on-year in 2021;Zhuozhuang Ultrasound Physician Group Collaborates with a Private Hospital, with its ultrasound examination business achieving a year-on-year growth of 90% in 2020 and 32% in 2021;The Volume of Prenatal Anomaly Screening Ultrasounds Completed by Zhuozhuang Ultrasound Physician Group in a Fourth-Tier City, with the 2021 figure being more than five times that of 2016. Since its establishment, it has provided prenatal screening services to over 60,000 expectant mothers. The stability and supportive capacity demonstrated by Zhuozhuang Doctor Group during the pandemic have served as a “ballast stone” for its partner medical institutions.

Leveraging the “existing customer base” and “business needs” within the healthcare industry, Zhuozhuang Ecological Partners invests in and operates more robust “targeted physician groups.”For example, based on Dejiang Medical’s innovative products and business needs, Zhuozhuang Doctor Group partnered with Dejiang Medical to establish “Baiyi Yijian,” which has developed innovative solutions such as “ballistic shockwave therapy for pain management” and “air compression therapy for postoperative care.”

By collaborating with hospital groups, local governments, and the medical health industry, Zhuozhuang Doctor Group will build a more comprehensive Zhuozhuang ecosystem, providing users and clients with more efficient, high-quality third-party medical services, and achieving a business closed loop of research and development, application, training, and services in the medical health field.