Kunya Medical Secures Tens of Millions of RMB in Series B Funding Led by Legend Capital, with Hyfinity Capital as Exclusive Financial Advisor

VCBeat (WeChat: vcbeat) has learned that Kunya Medical (835689), a leading third-party medical equipment service provider in China, recently announced the completion of its Series B financing round, raising tens of millions of yuan. The round was led by Legend Capital, with existing investor Honghui Capital making additional investments. Haoyue Capital served as the exclusive financial advisor for this financing round.

Upon completion of this round of financing, Shanghai Kunya Medical Co., Ltd. will expand its departmental and hospital trusteeship business lines, further integrate spare parts supply channels in alignment with national policy directives, and leverage a high-quality, unified service system to expand market reach and reduce operational costs.

Kunya Medical is dedicated to providing Chinese medical institutions with one-stop equipment management solutions, precise equipment maintenance, regular equipment asset assessments and recommendations, specialized training for medical professionals on equipment maintenance and usage, as well as ongoing management and technical support.

Since its establishment in 2009, Shanghai Kunya Medical Co., Ltd. has developed a mature service system. Currently, the company’s core businesses include managed maintenance services for hospital imaging and radiology department equipment, as well as comprehensive managed services for all hospital medical equipment. It professionally provides platinum-tier maintenance, gold-tier maintenance, technical servicing, equipment relocation, installation, and commissioning for large and medium-sized medical equipment from major domestic and international brands. Additionally, it offers a full range of spare parts and equipment management software.

To date, Shanghai Kunya Medical Co., Ltd. has served over 500 hospitals. Its professional technical team and on-site engineer service system now ensure a response within one hour of a hospital’s request. This systematic approach enables Kunya Medical to maintain high equipment uptime while better meeting patients’ diagnostic and treatment needs.

It is understood that the annual market size of China’s medical equipment services sector has reached RMB 34 billion. With the ongoing trend of cost containment in healthcare institutions, the improvement of equipment capabilities at grassroots-level facilities, and the rise of the comprehensive outsourcing model for medical equipment management, the service efficiency, response speed, and pricing of original equipment manufacturer (OEM) maintenance and management services are increasingly failing to meet hospitals’ equipment management needs. Consequently, the third-party medical equipment services market presents significant growth opportunities.

According to institutional forecasts, the market share of third-party services in the field of medical equipment maintenance management will approach 50% in the future.

Shanghai Kunya Medical Co.,Ltd. believes that future competition in the medical equipment services sector will further test service providers’ capabilities in upstream supply chain management, remote equipment management, and overall hospital equipment operations management.

In recent years, Shanghai Kunya Medical Co., Ltd. has actively explored innovation and successfully implemented an innovative service model of hospital-wide equipment trusteeship in multiple regions, including Shanghai, Jiangsu, Shandong, Jiangxi, and Hebei. By leveraging its self-developed Yiweijia mobile application and the Kunya Cloud Intelligent Platform, the company has achieved full lifecycle management, data-driven management, and intelligent monitoring of medical equipment.

Currently, China's after-sales service market for medical equipment is relatively underdeveloped. A prominent feature of this market is that healthcare institutions prioritize procurement while neglecting preventive maintenance and repairs.

Mr. Xu Renxiang, founder of Kunya Medical, stated that hospitals are plagued by cumbersome accreditation processes, insufficient staffing in equipment departments, and the high cost of maintenance for large-scale medical equipment. Meanwhile, inadequate safety testing often leads to equipment operating with undetected faults, resulting in approximately 60% of medical devices failing to receive timely maintenance and servicing. This has led to poor quality control, highlighting an urgent need to address medical equipment management issues.

In the future, Shanghai Kunya Medical Co., Ltd. will break the current status quo through strategic industrial structural design, leverage the critical role of third-party services in hospital equipment maintenance and upkeep, foster more robust market competition, and integrate key segments of the repair industry to establish an efficient closed-loop management service model for equipment operations.

Legend Capital stated that with the deepening of domestic medical insurance cost-control policies, it will be a major trend for hospitals to achieve effective cost containment through the outsourcing of cost items, among which the outsourcing of equipment maintenance will be one of the primary directions.

Legend Capital believes that, as a pioneer among the first companies in China to propose independent third-party outsourcing solutions for hospital equipment, Shanghai Kunya Medical Co., Ltd. will play a significant role in the transformation of large-scale medical equipment maintenance models in China.

Zhao Gang, Founding Partner of Honghui Capital, stated that since Honghui led Kunya Medical’s Series A financing round in 2016, the company has maintained rapid business growth. This achievement is not only the result of the founder’s leadership and the team’s diligent efforts but also aligns with the broader trend of rapid development in China’s third-party medical equipment maintenance industry. As a professional healthcare-focused fund, Honghui Capital is committed to its mission of providing steadfast and continuous support to high-quality medical enterprises.

Ding Yameng, Founding Partner of Haoyue Capital, stated that with the deepening of healthcare reform and the implementation of tiered diagnosis and treatment, both public and private hospitals have a strong demand for enhancing the specialized operational efficiency of hospital equipment and reducing maintenance costs through third-party services. Shanghai Kunya Medical Co., Ltd. has already established a solid foundation of capabilities across all core aspects of equipment service management and is poised to become the leading brand in the medical equipment service market.