Huayi Risun Files IPO Prospectus: Empowering China's Healthcare Sector through Sino-Japanese Medical Collaboration

As the living standards of Chinese residents continue to improve, public demand for medical services is also rising. Due to the government’s sustained efforts in healthcare reform in recent years, the overall medical environment has seen significant improvement. However, shortcomings such as the need for service enhancements and inadequate primary healthcare infrastructure persist, leading to a growing number of people opting for cross-border medical care.

The “White Paper on Cross-Border Medical and Health Services for China’s High-Net-Worth Individuals,” released in July 2016, indicated that the market size of cross-border medical services in China reached RMB 8.9 billion in 2015, and is projected to reach RMB 58.1 billion by 2020, with an expected annual growth rate of 50%.

Amid the surge in cross-border medical travel, developed countries and regions such as those in Europe, the United States, and Japan have become the preferred destinations for overseas medical care, owing to their globally leading healthcare environments and medical technologies.

Mr. Yang Mingyue, founder of Huayi Risheng, has accumulated many years of extensive experience in facilitating medical exchanges between China and Japan. With his keen professional insight, he deeply recognized the differences and gaps between the Chinese and Japanese healthcare systems. In response to the urgent public demand for cross-border medical services, Huayi Risheng initially focused primarily on overseas healthcare services, including medical check-ups and treatment in Japan, telemedicine, and medical aesthetics. However, during project operations, the team identified new challenges: although there was demand in the individual consumer market (B2C), customer acquisition channels were fragmented, leading to high operational costs and limited customer stickiness, which hindered sustainable long-term development.

Against this backdrop, the Huayi Risheng team began to carefully re-explore and strive to identify a business model suitable for the project’s development.

Addressing the core issue, Yang Mingyue and her team shifted their focus to the professional medical sector, namely the B2B market. Compared with the B2C market, the B2B market offers the advantage of a more stable user base. Moreover, while acquiring individual B2C customers entails high costs, precisely targeting B2B clients serves as an effective strategy to reduce customer acquisition costs. The team also possesses greater expertise in facilitating professional resource integration within the medical industry.

When it comes to cross-border healthcare, most people typically think of patients’ needs for seeking medical treatment abroad. In reality, healthcare professionals also have a substantial need for academic exchange and discussion with their international peers and specialists. Meanwhile, institutions such as hospitals, pharmaceutical companies, and industry associations are actively organizing overseas training and study programs.

Following thorough research and comprehensive assessment of market demands, Huayi Risheng was officially established in 2018. Positioning itself as a professional Sino-Japanese medical exchange platform, the company focuses on B2B cross-border medical resource matchmaking. Its core business is dedicated to advancing in-depth, friendly exchanges and cooperation in the medical fields of China and Japan, addressing multidimensional market needs such as medical study tours and project matchmaking in Japan, training programs in Japan, Sino-Japanese medical academic exchanges, recruitment of expert talent, and education for caregiving professionals. Since then, Huayi Risheng’s market strategy has steadily transitioned toward becoming a professional medical exchange platform and a provider of medical education and training.

According to the World Health Report released by the World Health Organization (WHO) in 2016, Japan has consistently ranked first in the world in terms of overall comprehensive medical strength, owing to factors such as high-quality medical services, equitable distribution of healthcare burdens, and a high average life expectancy among its citizens.

It is precisely because Japan possesses widely recognized advantages in medical standards, service quality, and technological equipment that domestic hospitals, pharmaceutical companies, and associations in China regularly organize internal staff for advanced training in Japan or invite Japanese experts to China for friendly exchanges of professional knowledge. However, due to factors such as geographical distance, language barriers, and cultural differences, domestic institutions and enterprises often struggle to effectively match their specific needs with appropriate targets for observation and study, which indirectly undermines the effectiveness of these training programs and medical exchanges. Against this backdrop, a market demand has emerged for intermediaries facilitating Sino-Japanese medical exchanges. This demand aligns perfectly with Huayi Risheng’s positioning as a platform for Sino-Japanese medical exchange, laying a solid foundation for its steady future development.

A key factor behind Huayi Risheng’s successful transition to its current service model is its accumulation of specialized medical resources, which constitutes the company’s irreplaceable core competitive advantage.

After years of accumulation and in-depth development, Huayi Risheng has established friendly cooperative relationships with nearly 80 university-affiliated hospitals and medical institutions as of now, including the University of Tokyo, Kyoto University, Juntendo University, Kobe University, and the National Cerebral and Cardiovascular Center. Its medical network spans from Hokkaido in the north to Okinawa in the south, covering virtually all of Japan. To date, Huayi Risheng has hosted more than 20 large-scale online and offline medical exchange events and forums, providing professional consultation and liaison services to hundreds of clients seeking medical treatment in Japan.

In addition to its substantial accumulation of medical resources, Huayi Risheng has gradually built a strong industry reputation by adhering to the principles of steady progress, integrity, and rigor, which has also been a key driver of its development in recent years.

Whether inviting Japanese experts to visit China or facilitating exchanges for Chinese healthcare professionals in Japan, Huayi Risheng has consistently adhered to its commitment of delivering high-quality matchmaking and services to clients. By conducting follow-up visits and sincerely listening to customer feedback and suggestions, the company continuously refines its service quality, thereby enhancing customer loyalty. It is this pursuit of excellence that guides Huayi Risheng in providing meticulous service to every client. The Huayi Risheng team believes that true quality is reflected in “returning customers,” and genuine reputation is built through “referrals from friends.” Guided by this principle, Huayi Risheng has steadily expanded its client base and gradually opened up new markets.

The professionalism and meticulousness are also evident in the specific service details. Taking pre-departure preparation for medical study tours and project matchmaking in Japan as an example, the team thoroughly assesses clients’ objectives, expected group size, and itinerary before departure. Professional medical translators then translate and organize relevant materials for the visiting delegation. Subsequently, the team assists with visa applications, coordinates with host medical institutions, and arranges accommodation and meals, attending to every detail to comprehensively meet client needs to the greatest extent possible.

After departure, the team will provide clients with a range of support services during the study tour, including guided commentary, lifestyle assistance, dedicated chaperone accompaniment throughout the trip, and translation services.

Upon returning to China, I will meticulously review and summarize the key points from discussions held during the medical exchange to ensure the smooth and sustained advancement of project alignment and in-depth collaboration between the Chinese and Japanese teams.

By continuously refining the details across the entire service chain, the Huayi Risheng team has not only effectively met customer needs but also earned their genuine trust and a strong reputation.

“Internet+” is no longer a novelty in the healthcare sector; with the continuous development and optimization of various emerging technologies, the online expansion of medical services has become widely anticipated.

Impacted by the pandemic, offline cross-border medical exchange activities were constrained, which prompted Huayi Risheng to gradually explore online business models, including virtual conferences and online expert-led instruction. At present, most of Huayi Risheng’s previously offline operations have been transitioned to online platforms.

In response to the pandemic, Huayi Risheng embarked on its own transformation journey while leveraging its strengths as a cross-border medical exchange platform to assist various stakeholders in addressing the challenges posed by the outbreak. It is reported that during the pandemic, Huayi Risheng established a China-Japan Medical Translation Volunteer Team, which translated China’s COVID-19 treatment protocols for major renowned hospitals in Japan. These efforts provided support for the treatment of COVID-19 patients in Japan by covering key aspects such as transmission routes, diagnostic criteria, differential diagnosis, traditional Chinese medicine (TCM) treatments, clinical manifestations of confirmed cases, transmission and spread caused by imported cases, and prevention and control of nosocomial infections.

This move not only demonstrates Huayi Risheng’s sense of responsibility in addressing the challenges of the pandemic, but also highlights the communicative nature of the Huayi Risheng platform, which facilitates mutual exchange of medical expertise between China and Japan rather than one-sided learning. This has enabled the company to continuously earn recognition from enterprises and institutions in both countries.

“Making healthcare borderless and empowering the medical industry” has always been Huayi Risheng’s steadfast mission. Moving forward, the entire team will work in unison to deepen its engagement in Sino-Japanese medical exchanges, complemented by medical training and education. By establishing business models centered on “Internet + Online Medical Conferences” and “Internet + Cross-Border Telemedicine between China and Japan,” the company aims to promote comprehensive and steady business growth.

To align with its current expansion and steadily implement its established development plans and objectives, Huayi Risheng is continuously strengthening its team-building efforts to attract more high-caliber talent. Meanwhile, the company is planning an angel financing round, with the proceeds primarily allocated to expanding the team and enriching its online exchange sessions and medical education products, ultimately building China’s most specialized vertical platform for Sino-Japanese medical exchanges and educational training.