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Advantage Integration and Mutual Benefit | Zhonghong Medical and Shanghai Pharmaceutical Came to Agreement on Strategic Partnership

2022-09-14

Recently, Zhonghong Pulin Medical Products Co., Ltd. (hereinafter referred to as Zhonghong Medical, stock code: 300981), an enterprise specialized in the research, development, production and sales of high-quality disposable health protection products, sterile medical devices and other medical consumables and equipment, has concluded an agreement on strategic partnership with Shanghai Pharmaceutical Co., Ltd. (referred to as Shanghai Pharmaceutical).

In recent years, new reform measures, such as two-vote system, centralized large procurement, tax system reform and consistency evaluation, have brought about great changes in China's medical and health industry. The information-based construction of logistics has also achieved initial success with the continuous improvement of logistics technology. Based on the advantages of Shanghai Pharmaceutical and Zhonghong Medical in their respective business fields, they will consolidate their respective industry positions, expand their close channel cooperation, and jointly promote the rapid development of related businesses. After research and demonstration, both parties have reached a consensus on the development of pharmaceutical logistics distribution and will establish a long-term strategic partnership in the related business fields.


According to the cooperation agreement, Zhonghong Medical will entrust Shanghai Pharmaceutical to provide logistics distribution services for the company and its subsidiaries' products based on its own business needs, or rents the logistics warehouse of Shanghai Pharmaceutical and entrusts it to carry out inventory management; Under the same conditions, Zhonghong Medical will give priority to the distribution rights of Shanghai Pharmaceutical products according to market conditions, and Shanghai Pharmaceutical's distribution network will give priority to the distribution of Zhonghong Medical products in authorized areas.


Mutual benefit and win-win cooperation. On the basis of mutual trust, the two parties will integrate their respective superior resources, further expand the depth and breadth of cooperation and form a common development alliance for a win-win situation in accordance with the concept of mutual development and value orientation.


Link: Shanghai Pharmaceutical is directly under Shanghai Pharmaceutical Group Co., Ltd., which is a national modern pharmaceutical supply chain service enterprise with pharmaceutical distribution as its core, and its business center network covers 17 provinces and cities across the country. Based on the nationwide terminal network, Shanghai Pharmaceutical focuses on promoting hospital supply chain services, developing "new distribution and new retail" and building new industrial advantages. The company's distribution network covers more than 30,000 terminals of medical institutions in China. Based on strong terminal network and service innovation, it has some industry advantages, and has strong industrial competitiveness in new business areas such as high-end consumables, DTP (Direct Delivery of High-value Drugs) and SDP (Hospital Logistics Service of Pharmaceutical Products).


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