Ruibao Pediatrics Completes $10.2M Series B Funding to Build Premium Pediatric Clinic Chain

The maternal and child health sector has attracted significant interest from investors. VCBeat has learned that Ruibao Pediatrics recently completed its RMB 70 million Series B financing round. The round was oversubscribed by existing shareholders Vertex Ventures China, Maxstar Investments, and Bencao Capital. Maxstar Investments, the angel investor in Ruibao Pediatrics, also participated as a lead investor in this round. Both Bencao Capital and Vertex Ventures China, which invested in Ruibao Pediatrics’ Series A round, continued to follow on in this financing.

This round of financing will be used by Ruibao Pediatrics to continue its market expansion in Shanghai and other regions, as well as to develop its online business, thereby achieving an integrated O2O (online-to-offline) service system for pediatric care.

Ruibao Pediatrics was established in 2014. After three years of development, it currently operates three specialized pediatric medical service institutions in Shanghai, located in the Lianyang Community in Pudong, the New Jiangwan City Community in Yangpu, and the Longsheng Commercial Center in Minhang. Its fourth clinic in the city center is currently under construction.

Positioned in the mid-to-high-end pediatric healthcare market, Ruibao Pediatrics is managed by a team with extensive experience in high-end medical service management. It aims to integrate international healthcare management and operational concepts into local private medical services in Shanghai. In terms of medical resources, all physicians at Ruibao Pediatrics are fromSenior Pediatricians and Specialists from Renowned Hospital Systems in ShanghaiIn terms of service model, Ruibao Pediatrics combines the traditional outpatient model with information technology to achieve comprehensive real-time guidance during the consultation and treatment process.

In terms of diagnosis and treatment, Ruibao Pediatrics proposes and adheres to the principle of cautious medication, prioritizing children's health, andAdvocate for an integrated approach combining Traditional Chinese Medicine and Western medicine to establish a closed-loop treatment system, while simultaneously improving children’s surrounding environment, preventing diseases, ensuring proper nutrition, and enhancing immune function., aligning with children's natural attributes.

In addition to its pediatric disease outpatient clinic, neonatal outpatient clinic, and child healthcare outpatient clinic, Ruibao Pediatrics also offersSpecialized Outpatient Services, including services for allergic diseases, pediatric ophthalmology, traditional Chinese medicine diagnosis and treatment, pediatric nutrition clinics, and psychological counseling. Among these, the allergy specialty and ophthalmology departments have gained significant recognition from users. Moreover, while Ruibao targets mid-to-high-end clients similar to other private healthcare institutions currently on the market, its pricing strategy is more aligned with the emerging middle class, helping it capture the youth market more rapidly.

Not only focusing on offline services, online functions are also indispensable! To provide patients with “more convenient, efficient, and intelligent” services, the online tool “Q Ruibao,” developed by Ruibao Pediatrics, will be launched in spring 2017.Cloth!

Ruibao PediatricsFounder and President Yang Weilu statedQ Ruibao App, as an extended service for customers of Ruibao’s physical clinics, implements the O2O model and embodies the service philosophy of having a family doctor by your side.Users can easily schedule in-store appointments, access electronic medical records, make online payments, and conduct lightweight consultations for pre- and post-illness care.

As an exclusively developed online light-consultation tool, it primarily focuses on pre- and post-illness management for existing members. By providing online services, it aims to enhance customer experience, ensure the completeness and simplicity of the medical consultation process, and further improve operational efficiency. Yang Weilu stated that Ruibao Pediatrics’ goal is to establish a true O2O (Online-to-Offline) service system for pediatrics.

According to VCBeat, many pediatric institutions in Shanghai primarily serve foreign nationals residing in China, with most members paying through insurance channels. In contrast, Ruibao Pediatrics’ main customer base is concentrated among the domestic mid-to-high-end population.

Currently,Ruibao Pediatrics has reached direct billing agreements with major commercial insurance companies and established a green-channel referral system with several leading pediatric hospitals in Shanghai., providing further follow-up support for complex cases.

Ms. Yang Weilu stated that the essence of healthcare services lies in delivering high-quality, safe, and trustworthy medical care to patients through the long-term accumulation of clinical quality, service excellence, technical expertise, and positive patient reputation. As a specialized pediatric healthcare provider, Ruibao Pediatrics is committed to establishing long-term partnerships with the three investing institutions.

Recalling her entrepreneurial journey, Yang Weilu shared her personal experiences. A graduate of Shanghai Medical University, Yang was once a clinical physician. Before launching her own venture, she held senior executive positions at Parkway Health and United Family Healthcare. After becoming a mother in 2010, she found it still very difficult to seek medical care for her child at hospitals in Shanghai. With the rise of China’s middle class, demand for high-end pediatric institutions has grown significantly. Leveraging her years of experience in foreign-invested healthcare and her keen business acumen, she recognized the viability of developing a pediatric healthcare service tailored to the local middle class. Currently, 70%–80% of common pediatric conditions can be diagnosed and treated at Ruibao Pediatrics’ offline clinics.

Jin Jiong, Managing Partner at Source Code Capital, stated, “We believe that the involvement of private capital can enhance the supply-side market structure of the pediatric healthcare industry and meet rapidly growing demand. Furthermore, as pediatrics falls within the realm of specialized medical services, it imposes exceptionally high professional requirements on operational teams.” Jin Jiong specifically expressed recognition for the Ruibao Pediatrics team.

In addition, Zhou Hao, Partner at Bencao Capital, stated that the brand and management advantages of Ruibao Pediatrics in Shanghai have begun to yield results. Moving forward, the company will continue to leverage its own medical resources to help build a larger-scale pediatric chain with stronger brand competitiveness in Shanghai and the Yangtze River Delta region.