United Imaging Healthcare Completes RMB 3.333 Billion Series A Funding Round with Post-Money Valuation of RMB 33.333 Billion

VCBeat (WeChat ID: vcbeat), September 15 – Xue Min, Chairman of United Imaging Healthcare, announced today that the company has successfully completed its Series A financing round.Financing amount: RMB 3.333 billion; post-money valuation: RMB 33.333 billion.

Xue Min stated that this is, to date,China’s Largest Single Private Equity Financing Deal in the Medical Device Industry.

VCBeat has learned that,This round of financing was co-led by China Life Health Industry Fund and SDIC Innovation Investment Management Co., Ltd., with participation from China State-owned Capital Venture Investment Fund, CICC Zhide, CITIC Securities, CDB Kaiyuan, and China Merchants Bank Telecom, among other institutional investors.

United Imaging Healthcare is a provider of high-end medical equipment and healthcare informatics solutions. Headquartered in Jiading, Shanghai, its business encompasses the research, development, and manufacturing of premium medical products for the entire process of imaging diagnosis and treatment, as well as the provision of innovative healthcare informatics solutions.

In terms of diagnostics, United Imaging independently develops and manufactures a full line of high-end medical imaging products, including computed tomography (CT), molecular imaging (MI), magnetic resonance (MR), and X-ray systems.

In terms of treatment, leveraging its robust capabilities in imaging technology R&D, United Imaging independently develops and manufactures high-end radiotherapy (RT) equipment, providing comprehensive RT solutions with real-time HD image guidance to achieve precise treatment of subtle lesions while minimizing damage to non-lesional tissues, thereby enhancing diagnostic and therapeutic standards.

In the realm of healthcare informatization, United Imaging provides innovative Healthcare Solutions for Wide-area networks (HSW) to address the uneven distribution of regional medical resources. By enabling regional interconnectivity, these solutions facilitate remote diagnosis, remote training, and maintenance, thereby effectively integrating medical resources, improving the efficiency and quality of care, and expanding access to medical services.

Xue Min stated that following the financing, the company will continue to increase its investment in innovation. It aims to introduce more innovative products and technologies to the industry, enabling a broader segment of society to benefit from cost-effective products and healthcare informatics solutions.

Below is an internal letter published by Xue Min on the United Imaging WeChat official account.

To All United Imaging Employees:

Over the past six years, countless people have asked me: Is it truly worthwhile to go all-in, pouring all our financial resources and energy into product R&D and breakthroughs in core technologies? For six years, our more than 2,700 employees have endured hardships beyond ordinary imagination in their quest to push technological boundaries. Is such dedication truly worthwhile?

Innovation, what is its value? Struggle, what is its value? Today, for the first time, our efforts over the past six-plus years have been “quantified”:United Imaging Successfully Completes Series A Financing, Raising RMB 3.333 Billion with a Post-Money Valuation of RMB 33.333 Billion.

This is the largest single private equity financing in China’s medical device industry to date. It serves as a significant affirmation of the hard work and innovative achievements of all United Imaging employees over the past six years. It also reflects the market’s positive expectations for United Imaging’s long-term future development.

Financing is not simply about “raising capital,” but rather about forging a “community of shared destiny” with partners who share common values and offer complementary resources and technological advantages, thereby jointly achieving significant business success.This round of financing was co-led by China Life Health Care Fund and SDIC Innovation Investment Management Co., Ltd., with joint participation from investment institutions including China State-owned Capital Venture Investment Fund, CICC Zhide, CITIC Securities, CDB Kaiyuan, and China Merchants Bank Telecom. These investors will join hands with us as we embark on the next phase of United Imaging’s journey.

What Does Financing Mean for United Imaging? It means that United Imaging will henceforth bear simultaneous responsibilities to its shareholders, employees, industry, and society. We will press forward under the weight of these responsibilities, a journey that will be more arduous and taxing. Yet it is precisely these “unbearable lightnesses of being” that imbue our existence with greater meaning. Should we shed these burdens, we would lose our direction, our fulfillment, and our strength.

Following the financing, we will continue to increase our investment in innovation, creating value driven by innovation to reward our customers, shareholders, and employees. We aim to bring more innovative products and technologies to the industry, benefiting a broader segment of society with cost-effective products and healthcare informatics solutions.

Here, I would also like to remind everyone that the injection of capital by no means implies that we have become lavish or financially comfortable, nor does it suggest that United Imaging is close to success. Bill Gates once said, “Microsoft is always only 18 months away from bankruptcy.” In the same vein, I would say that United Imaging is always merely half a step away from failure. We must maintain a constant sense of crisis, uphold the spirit of hard work and perseverance, and sustain our passion for innovation. Taking customer needs as our vital source of inspiration, and regarding customers’ high standards and strict requirements as our guide, we should hold a deep reverence for the principle of survival of the fittest and remain steadfast in our faith in the industry’s development. By advancing steadily and pragmatically, step by step, we will carve out a path uniquely our own, leading United Imaging to become a world-class medical equipment company.. This path is destined to be arduous, yet it is also destined to be one that can be sustained over the long term.

Finally, we extend our heartfelt gratitude to CICC and CITIC Securities for their professional guidance during the financing process; to PwC for its in-depth and comprehensive audit services; to L&L Partners for its expert legal counsel; to our existing and new shareholders for their trust; and to all UIH employees for their dedication!

We firmly believe that United Imaging has a promising future.

United Imaging Chairman Xue Min

September 15, 2017