Chinese healthcare industry is booming,
Chinese healthcare investments are having an unprecendently strong momentum.
The number of Medtech & Biotech IPOs and their combined market capitalization have been more than doubling in 2019 and 2020 consecutively.
Every other week a Chinese healthcare company goes IPO with a valuation above a billion dollars.
And their pre-IPO valuations are on average twice the size of their US peers.
And once traded, their stock performance performs on average twice better than their US peers.
With such kind of exit opportunities, it is easy to understand why Venture Capital is injecting so much capital into new Chinese healthcare companies.
We can argue that there is a bubble and that those numbers are inflated but we cannot deny that in the long run the Chinese healthcare industry has solid fundamentals for outstanding value creation:
- a middle class of 500 million people that keeps growing
- an aging society with 31% of Chinese population above 65 years old by 2025
- a National Medical Insurance now covering 100% of the population
- Wide talent base with 250’000 life sciences returnees
- Fast healthcare policy & registration reforms
- Strong financial support of the Chinese government
- lower cost of clinical trials and faster enrollment contributing to a sustainable competitive advantage in medical R&D
How can you take advantage of what's happening in China?
As a European, Israeli or U.S. healthcare company, you wonder how to take advantage of this extraordinary market & capital environment.
You know that the road to the Chinese market is full of obstacles and dead ends. The cultural gap is wide enough to fall into, as many Western companies have already experienced.
Shall you set up your own entity there, or find that magic partner with which to build a Joint-Venture or strike a license deal?
How MAVIE can help you?
At MAVIE, we helped several dozens of healthcare companies evaluate, define & grasp their China opportunity.
Our team gathers a unique combination of experience in finance, entrepreneurship, strategy, business development, clinical, technology and science with a China healthcare focus.