Distinct Healthcare Secures $60M Series E Funding to Build 5 Hospitals and 10 Clinics Over Next Five Years

On September 5, 2021, Distinct HealthCare, a leading brand in China’s high-quality, digital healthcare services sector, announced that it had completed a $60 million Series E strategic financing round and simultaneously unveiled a five-year plan to build small- and medium-sized hospitals along with ten large-scale clinics.

Distinct HealthCare’s latest funding round was led by a top-tier domestic technology enterprise, with participation from a major Hong Kong-based commercial conglomerate. Both investors believe that demand for high-quality medical services in China will maintain steady growth, and that Distinct HealthCare holds significant potential in the healthcare services market.

Distinct HealthCare was founded in April 2012 as a medical group led by a team of distinguished physicians in China and operated by a professional administrative team. Over the past decade, Distinct HealthCare has adhered to the principles of evidence-based medicine and remained committed to “returning to the essence of healthcare,” establishing a comprehensive multi-specialty medical system that encompasses internal medicine, surgery, gynecology, pediatrics, dentistry, dermatology, ophthalmology, otolaryngology, medical-grade health examinations, and ambulatory surgery.

Currently, Distinct HealthCare operates nearly 30 physical clinics across 11 major cities in China, has attracted nearly 300 outstanding mid-career physicians from both domestic and international backgrounds to join as full-time staff, and has signed direct billing agreements with more than 40 leading global insurance companies.

The application of information technology is becoming a new value growth driver for Distinct HealthCare. In the new model of healthcare service delivery that Distinct HealthCare is fully committed to building, the company has seamlessly integrated traditional in-person consultations with online follow-up visits, online consultations, video-based emergency care, and health management services through an integrated online-offline service approach. This integration not only enhances user experience but also significantly improves operational efficiency.

It is reported that after securing a new round of financing, Distinct HealthCare will continue to expand the number and scale of its offline medical facilities, while accelerating the enhancement of its online service capabilities.

Wang Zhiyuan, Founder and CEO of Distinct HealthCare, stated, “Distinct HealthCare will continue to strictly adhere to the philosophy of ‘returning to the essence of healthcare.’ While ensuring medical quality and service experience, we plan to establish five new small-to-medium-sized hospitals and ten large comprehensive outpatient clinics within the next five years. Furthermore, we will accelerate the enhancement of our online service capabilities and process coordination, taking the lead among domestic peers in truly achieving integrated online-offline delivery of healthcare services, and striving to reach our goal of serving one million family members at the earliest possible time.”

Two investors in the Series E round believe that Distinct HealthCare places great emphasis on medical quality and user reputation, and has undertaken many beneficial practices in leveraging internet technology to enhance physical medical services and building a truly future-oriented online-offline integrated healthcare service model. These strengths will become powerful competitive advantages for Distinct HealthCare in the future.

Taihe Capital served as the exclusive financial advisor, and O'Melveny & Myers acted as legal counsel for the Series E financing round.

Previously, Distinct HealthCare completed a $50 million Series D financing round in late 2019, with participation from multiple well-known investment institutions.