Beiden Medical Secures RMB 65 Million Series A Funding, Aiming to Revolutionize China's Medical Device B2B Supply Chain

Recently, Beden Medical announced that it had secured RMB 65 million in Series A financing. The round was led by Zhongwei Fund, with participation from Orient Fortune Capital and Puhua Capital.

Founded in 2010, Beideng received angel investment from Jingkui Capital. Since 2014, Beideng has focused on the medical device sector. In 2015, it secured RMB 30 million in Pre-A round financing from Fenxiang Investment and Pengrui Investment.

China's medical device production scale grew from RMB 43.4 billion in 2006 to nearly RMB 300 billion in 2015, representing an average annual growth rate of over 20%. Against the backdrop of population aging, this sector is projected to maintain an annual growth rate exceeding 20% over the next decade, reaching RMB 600 billion by 2020 and RMB 1.2 trillion by 2025.

Bedeng Medical Official Website

Ding Haibo, founder of Beideng, believes that the distribution sector for medical devices in China has the following characteristics:

First, upstream manufacturers are highly fragmented, with 15,000 companies, over 90% of which are small and medium-sized enterprises (SMEs) with annual sales below RMB 20 million; they lack efficient nationwide sales channels.

Second, there is a vast number of distributors in the intermediate distribution channels—totaling 180,000—with most relying on “relationship-based sales” and lacking adequate product supply and service capabilities;

Third, against the backdrop of healthcare reform, medical institutions have a demand for one-stop procurement from suppliers, but traditional medical device distributors struggle to meet this need due to their inherent limitations.

Ding Haibo, Founder of Beden Medical

Beideng Medical is China’s largest B2B platform for medical devices, focusing on the distribution segment. By leveraging the internet to integrate and serve tens of thousands of small and medium-sized medical device distributors and private healthcare institutions, its online-to-offline service model transforms traditional medical device distribution channels. It provides upstream manufacturers with a more efficient, nationwide channel for product promotion and sales, while offering downstream distributors and private healthcare institutions rapid, low-cost, one-stop procurement services. This enhances overall distribution efficiency across the medical device industry, reduces procurement costs, and achieves the goal of “making medical device procurement simpler.”

Currently, in terms of upstream manufacturers, Bedeng has established partnerships with nearly 300 well-known domestic and international brands, including Philips, 3M, Mindray, Edan, and Wandong, and has accumulated data on more than 1,500 manufacturers. On the downstream side, Bedeng has collaborated with over 5,000 distributors and private medical institutions, built a database of more than 50,000 target customers, and directly or indirectly served over 20,000 hospitals.

Ding Haibo, founder of Beideng, stated that by accumulating a large-scale base of upstream manufacturers and downstream customers, the company will not be limited to supplying medical device product solutions to downstream clients. It is also actively building an ecosystem centered on its B2B platform for medical devices, offering services such as brand promotion and targeted investment attraction for manufacturers, supply chain finance, after-sales maintenance, and one-stop procurement for private healthcare institutions.

Bedeng Medical aims to build a more efficient, low-cost distribution channel for medical devices within the next three to five years. By enhancing distribution efficiency across the entire industry, it ultimately helps various healthcare institutions reduce procurement costs and, to a certain extent, assists the nation in addressing the challenges of difficult and expensive access to medical care.