China Pacific Insurance and Sequoia China Forge Strategic Partnership in Health Industry with Launch of Dedicated Investment Fund

On January 28, 2021, China Pacific Insurance (Group) Co., Ltd. (“China Pacific Insurance”) and HongShan (formerly known as Sequoia Capital China) held a ceremony in the Lingang New Area of the Shanghai Pilot Free Trade Zone to announce their strategic cooperation in the health industry and the launch of a joint fund. The two parties will leverage the synergistic advantages of capital and industry, commit to identifying new technologies, business formats, and models in the broader health sector, and jointly advance long-term investment strategies in the health industry.

China’s broad health industry holds immense potential for growth, and the era of in-depth industrial layout is accelerating. Key stakeholders—including hospitals, patients, pharmaceutical companies, and medical technology firms—are synergizing to create structural resonance, while the deep integration of commercial insurance will inject powerful momentum and vitality into the leapfrog development of the broader health sector.

As a practitioner of the “Healthy China” strategy, the Board of Directors of China Pacific Insurance (CPIC) established the “2020–2025 Grand Health Development Plan,” clearly positioning itself as “a leading domestic comprehensive provider of health protection services” and formulating the “1243” blueprint for grand health development. Centered on this top-level design, the Company is actively advancing four platform projects—internet healthcare, offline physical medical facilities, a professional health insurance company, and a health industry fund—to close the loop among “medical care, pharmaceuticals, and insurance.” This initiative aims to build an integrated medical-health ecosystem combining health management, insurance products, and medical services, thereby providing customers with health management services that cover their entire life cycle.

As a leading investment firm, HongShan has prioritized healthcare as a core investment focus since its inception. Over the past decade, HongShan has invested in more than 160 outstanding companies in the healthcare sector, spanning multiple sub-sectors including innovative drugs, medical devices, healthcare services, precision medicine, and digital health. Among these portfolio companies, over 25 have completed initial public offerings (IPOs) on the A-share, Hong Kong Stock Exchange, and U.S. stock markets. In doing so, HongShan has established a comprehensive ecosystem in the healthcare industry that encompasses the discovery of cutting-edge technologies, investment in innovative enterprises, and precise empowerment across the industrial chain.

The strategic health industry partnership between China Pacific Insurance (CPIC) and HongShan, along with the successful launch of their fund, represents a critical component of industrial layout and a concrete step in implementing the “Healthy China, CPIC Action” initiative. Moving forward, both parties will leverage market-oriented platforms and the advantages of long-term insurance capital to focus on investment opportunities across the broader health industry chain, including biopharmaceuticals, medical devices, healthcare services, and digital health. This collaboration aims to unlock greater potential, deliver stronger leverage effects, and provide more professional, in-depth empowerment for investments in the medical and health sector as well as cooperation with commercial insurance.

Industrial investment funds serve as a critical pillar for precisely supporting the real economy and accelerating the enhancement of industrial capabilities. The successful establishment of the joint fund by both parties in the Lingang New Area will further promote the aggregation of high-end financial and industrial resources, inject market momentum into the area’s development as a special economic functional zone and a modern new city, and significantly accelerate its growth trajectory.