Xinkang Healthcare Raises RMB 85 Million in Series C Funding to Expand Community-Based Primary Care and Health Management Platform with 500,000 Resident Health Records

Recently, VCBeat (WeChat: vcbeat) learned that Yunnan Xinkang Medical Management Group Co., Ltd. secured RMB 85 million in Series C financing, led by Ruisheng Investment. This round of funding will be primarily used to further expand the company’s business operations.

Xinkang Medical, established on March 15, 2012, is a large-scale medical chain enterprise integrating medical services, health services, and community public health. Its subordinate medical branches are primarily distributed across the four main urban districts of Kunming. This is a private-sectorA Typical Case of a Primary Healthcare Enterprise in Kunming.

Through the Xinkang Medical Platform, community residents can access professional hospital services locally while also benefiting from specialized family doctor services. Each subordinate Community Health Service Center and Community Health Service Station directly serves an average population of over 10,000 residents. These facilities provide not only basic services—including prevention, healthcare, rehabilitation, health education, and family planning guidance—but also clinical treatment services such as pharmaceutical care, vaccination, and general practice.

Visit the Xinkang Medical website, which features multiple sections including medical services, health information, a renowned doctors’ hub, family doctor services, and two-way referral. In addition to selecting from a variety of community medical and nursing services, residents can access remote care and diagnosis through the family doctor section and schedule two-way referrals via the Family Doctor APP.

Xinkang Medical operates as follows: starting with residents' health records, it provides family doctor services, with each doctor managing 1,000 households via an app, and enabling doctor-patient interactions through a family-oriented app.

The two-way referral system facilitates the flow of patient information and resources between hospitals and community health centers. Once patients are transferred to tertiary hospitals, these institutions can access a comprehensive view of the patients’ conditions. After treatment, patients return to community health centers for rehabilitation, with their data seamlessly synced back to these centers. Founder Yang Sa stated, “Any tertiary hospital that does not engage with our community network will not receive patient referrals from us.”

Regarding fees, Xinkang Medical sets a maximum cap based on regional standards, ensuring that patients’ out-of-pocket expenses for consultation and treatment do not exceed a specified amount. The platform’s pricing is remarkably low; in some cases, a seven-day hospital stay, including treatment, costs only RMB 2,000.

Xinkang Medical’s positioning within community health centers is to focus on the treatment of minor ailments and chronic disease management. Through nearly a decade of standardized operations, the company has accumulated long-term health records for 500,000 residents in its service area, laying the initial foundation for its family physician services.

Founder Yang Sa was initially a physician before transitioning into the pharmaceutical industry, having undertaken two prior entrepreneurial ventures before establishing Xinkang Medical. Regarding his motivation for founding Xinkang Medical, he stated, “In recent years, the development of tiered diagnosis and treatment has accelerated. Primary healthcare institutions at the community level serve as entry points with significant patient flow, offering substantial growth potential.”

He, who once served as the Chairman of Kunming Sanjiu Jimin Pharmaceutical Chain Co., Ltd., decisively sold his 17-year-old, consistently profitable stores in response to Yunnan Province’s policy restricting the sale of cosmeceuticals in medical insurance-designated pharmacies, and pivoted to community healthcare services. Looking ahead, Xinkang Medical aims to achieve an organic integration of community healthcare and pharmacy services through collaboration with its former chain pharmacies.

Xinkang Medical secured its Series A financing in early 2014 and its Series B financing in November 2015.Currently, it has a wholly-owned pharmaceutical chain enterprise, an investment company that fully owns community medical institutions, and a subsidiary specializing in the development of community healthcare software and big data management.