On 12 November 2017, Shanghai Fosun Parmaceutical (Group) Co., Ltd.(hereinafter referred to as "Fosun Pharma" or the "Company", Stock Code: 600196.SH, 02196.HK) announced that Shanghai Hospital Investment (Group) Co., Ltd., a subsidiary of Fosun Pharma will contribute RMB909 million to acquire a total of 60% equity interest in Shenzhen Hengsheng Hospital.

Shenzhen Hengsheng Hospital is a for-profit medical institution, approved by Health and Family Planning Commission of Shenzhen Municipality. Founded in 2004, the hospital is located in the core area of Shenzhen City with total construction area of nearly 95 thousand square meters. It has set up more than 40 clinical medical departments, supporting 681 approved beds, owning more than 800 professional, technical personnel and operation management team.

Serving as one of the largest private-owned tertiary general hospitals in Shenzhen, Shenzhen Hengsheng Hospital received nearly 600 thousand visits in 2016 and has a “Certificate of Approval of Human Assisted Reproductive Technology” issued by the Guangdong Provincial Health and Family Planning Commission. Its second-generation assisted reproductive center was approved in 2015, served as the only second-generation assisted reproductive center in the western coastal area of Shenzhen. Through this acquisition, Fosun Pharma will ground on the second-generation assisted reproductive center owned by Shenzhen Hengsheng Hospital to develop into a platform of tertiary assisted reproductive specialized hospitals in Shenzhen and even south China, consolidating and strengthening its regional disciplinary cluster of gynemetrics, paediatrics and assisted reproduction.

After completion of the Acquisition, Fosun Pharma will draw upon the successful post investment experience in operation of its flagship hospital, Foshan Chancheng Central Hospital, to transform Shenzhen Hengsheng Hospital into becoming the regional medical platform of Fosun Pharma in Shenzhen and the matrix of a comprehensive medical group in the Shenzhen-Dongguan-Huizhou metropolitan agglomeration. The hospital will play an important role in the extensive development of medical service of Fosun Pharma in Southern China. At the same time, Shenzhen Hengsheng Hospital and Fosun Pharma co-joined by Foshan Chancheng Central Hospital and Guangzhou United Family Hospital, has laid out as medical service network in Pearl River Delta region, further expand its regional business arrangements along coastal developed cities.

At the same time, Shenzhen Hengsheng Hospital and Fosun Pharma co-joined by Foshan Chancheng District Central Hospital and Guangzhou United Family Hospital, has laid out as medical service network in Pearl River Delta region, further expand its regional business arrangements along coastal developed cities.