Tangren Health Files IPO Prospectus: Disrupting Cross-border Medical Intermediaries with a Free Information Platform

Among the eight founding members of Tangren Health, five have backgrounds of living and studying in Hong Kong. After graduating from Hong Kong universities and returning to the Chinese mainland, they keenly perceived the disparity in medical standards between the two regions. To bridge the information asymmetry between the mainland and Hong Kong and reduce the barriers and costs associated with cross-border healthcare, Tangren Health has consolidated information on Hong Kong’s medical resources accessible to mainland residents, establishing a cross-border healthcare information platform. The company is committed to providing free and transparent information services to individuals seeking medical treatment in Hong Kong.

Unlike traditional cross-border medical intermediaries that profit from information asymmetry, Tangren Health is committed to building an open platform, striving to integrate all Hong Kong medical resources accessible to mainland China residents, and empowering users to independently search for and contact suitable physicians on the platform.

Free Premium Information Services

Lei Jun of Tangren Health stated, “We will not charge intermediary fees to medical institutions or patients; all service items are clearly priced. Service fees are only charged for extended services, such as medical record translation and patient accompaniment.”

If users opt for services such as doctor appointments, medication purchases, or medical examinations and vaccinations, Tangren Health will negotiate lower quotes from healthcare institutions, retaining a portion of the discount as a service fee to ensure that mainland Chinese users incur no additional costs. However, this service fee is distinctly different from an intermediary commission. Regardless of the type of medical service, settlement occurs solely between the patient and the healthcare provider, with Tangren Health not intervening in the transaction.

Tang Jing, founder of Tangren Health, stated that the primary objective in the platform’s early development phase is to leverage high-quality information services to enable more Hong Kong medical institutions and mainland Chinese patients to access the platform. Profitability will be considered only after the platform has achieved a certain level of information integration.

On January 8, 2015, the Tangren Health website and WeChat official account were officially launched. According to its provided data, the website maintains a stable daily traffic of approximately 50,000 visits, with visitors primarily coming from first-tier cities in China.

Latest data shows that the information currently provided by Tangren Health covers 16 hospitals in Hong Kong, nearly 2,000 doctors, and more than 400 types of drugs.

All such information is collected and compiled by our team members through on-site research, presented in Simplified Chinese, allowing users to freely browse, consult, and even make appointments.

Currently, the medical services featured on the platform include HPV vaccination, assisted reproductive technology (ART), minimally invasive weight-loss procedures, genetic testing, physical examinations, and disease risk assessment, along with value-added services such as medical record translation and VIP airport pickup. Additionally, information and contact details for certain hospitals and physicians are freely accessible to users, and select recommended medications are available for online reservation. Users are responsible for arranging their own international travel, including flights and accommodation.

Meanwhile, in the event of medical disputes arising from cross-border healthcare services, Tangren Health, as a third-party platform, commits to proactively assisting users in contacting legal rights protection agencies at no cost. Hong Kong maintains a highly standardized protocol for handling medical incidents; users can obtain assistance by filing complaints directly with the local Hospital Authority. During this process, users will receive legal guidance from Tangren.

In the future, Tangren Health will design modular and personalized “Overseas Medical Care Packages,” with services extending to regions with advanced healthcare systems, including Taiwan, Japan, and the United States.

User groups can be divided into four categories

The current cross-border medical patient population primarily consists of two groups. The first comprises wealthy individuals and entrepreneurs who seek premium overseas healthcare services, such as regular health check-ups, cancer screening, and treatment. The main conditions treated include cancer, cardiovascular diseases, and mental disorders—services that are typically affordable only to the affluent. The second group consists of young women seeking cosmetic and plastic surgery, with South Korea and Japan being their primary destinations.

On Tangren Health’s platform, users are categorized into four types.

The first type is the mass-market segment, comprising users who demand vaccines that are affordable but unavailable in mainland China.

The second category comprises patients with critical illnesses, particularly those with cancer. Due to the limited availability of many of the latest anticancer drugs in mainland China, such as targeted therapies and immunotherapies, these patients need to travel to Hong Kong for treatment.

The third category comprises holders of Hong Kong insurance policies, or individuals whose domestic insurance covers medical expenses incurred in Hong Kong. These policies can provide full or substantial reimbursement for higher medical expenditures.

The final category comprises individuals with higher economic status who pursue high-quality healthcare and medical services characterized by superior service standards.

Compared with the primary users of traditional cross-border medical services, Tangren Health serves a broader user base. Tang Jing stated that this is mainly due to Tangren Health’s more reasonable pricing structure, which not only provides users with the most convenient and appropriate services but also offers patients the most competitive prices by eliminating hefty intermediary fees.

In the future, Tangren Health will continue to acquire more precise patient users through a combination of online and offline channels. Online, Tangren Health will collaborate with doctors from various hospitals to integrate into its platform patients who cannot be treated locally or require imported medications. Offline, Tangren Health will conduct promotions via WeChat.

Hong Kong Is the Preferred Destination for Cross-Border Medical Care from Mainland China

Why was Hong Kong chosen as the inaugural destination for Tangren Health’s cross-border medical services? Jing Tang stated that, on one hand, due to its Westernized healthcare system and more mature regulatory framework, Hong Kong holds greater advantages over mainland China in terms of medical technology and resources. On the other hand, Hong Kong’s model—characterized by relatively higher consultation fees but lower drug prices—facilitates patients’ access to the most effective treatments. Furthermore, its geographical proximity and cultural and linguistic similarities with mainland China make Hong Kong the preferred choice for cross-border medical care for mainland residents.

Tang Jing told VCBeat, “Hong Kong has a population of approximately 7.19 million. Its unique healthcare structure allows it to serve a larger number of people, resulting in roughly 30% idle capacity. Therefore, from a commercial perspective, hospitals there are highly willing to expand their market reach; however, government regulations prohibit hospitals from engaging in external self-promotion.”

In Hong Kong, Tangren Health has chosen to collaborate with private medical institutions. Tang Jing noted that, similar to mainland China, public hospitals in Hong Kong are government-funded and positioned to serve local residents, whereas private hospitals are more open to partnerships. Public hospitals in Hong Kong, as part of the government’s welfare system, cater primarily to local residents and are often overcrowded, resulting in long waiting times for many locals. In contrast, the private sector operates on a market-driven model, serving patients who pay out-of-pocket or through insurance, thereby maintaining spare capacity to accommodate patients from outside Hong Kong. While public hospitals do accept non-local patients, their fees are significantly higher than those charged to Hong Kong residents—roughly on par with private hospitals—yet the service quality and facilities fall far short of those offered by private hospitals and clinics.

Currently, Tangren Health has secured millions of RMB in angel investment from Li Zexiang, Chairman of the Board of Directors of DJI Innovations, and is currently raising its Pre-A round of financing.