HANGZHOU, China, May 5, 2016 /PRNewswire/ -- China Jo-Jo Drugstores, Inc. (NASDAQ CM: CJJD) (the "Company" or "China Jo-Jo"), a leading China-based pharmacy with retail, wholesale and online distribution of pharmaceutical and health care products through its own online and retail pharmacies, announced regulatory approval and launch of its pilot virtual doctor platform. The platform combines virtual doctor clinic services and in-store prescription dispensary services at six retail pharmacy locations. China Jo-Jo plans to launch outpatient clinic services at all of its retail pharmacy locations.
China Jo-Jo's Chairman and CEO, Mr. Lei Liu commented, "We are pleased with the launch of CJJD's pilot virtual clinic program. As the first pharmacy approved by the CFDA in Zhejiang Province to provide virtual prescription services in combination with in-store dispensary prescription fulfillment, we are excited to assist in providing greater access to general outpatient services such as maintenance programs for the treatment of high blood pressure and diabetes. Access to doctors in China has been difficult historically in many rural areas of China. Not only does our program rectify this problem, relieving hospitals of patient overflow; we are also able to save consumers between 10% and 30% in prescriptions costs as compared to the exact same service rendered at area hospitals."
Establishing this new endeavor required approvals from the CFDA and China's Health Reimbursement Insurance Program administration. The efforts are part of China's move towards providing greater access to healthcare and dispensary services for its citizens. Under this program, services and prescriptions are reimbursable through government administered social insurance as well as private health insurance.
China Jo-Jo partnered with a well-established hospital system in China and third party medical technology vendor in launching the pilot program. Pharmacies that have been setup with diagnostic equipment and video services serviced by the medical technology provider and now have the added benefit of being able to fill prescriptions dispensed by the virtual doctor under the CFDA and Health Insurance Reimbursement Bureau's approved plan.
According to the CFDA, as of 2015 there is a RMB1.3 trillion market for pharmaceutical dispensary services for which hospitals control more than 80% of pricing and dispensary services in China. An added consumer benefit will be to introduce competition and fair pricing practices to the prescription drug market with the goal of providing improved pricing to consumers. It is expected that nearly 2,500 prescriptions will be made available online under this program.
About China Jo-Jo Drugstores, Inc.
China Jo-Jo Drugstores, Inc., through its own retail drugstores, wholesale distributor and online pharmacy, is a leading retailer and wholesale distributor of pharmaceutical and healthcare products in China. As of December 31, 2015, the Company had 59 retail pharmacies in Zhejiang Province, China. The Company's wholesale subsidiary not only supplies its retail stores, but also distributes drug and other healthcare products to other drugstores and drug vendors. The Company routinely posts important information on its corporate websites at www.chinajojodrugstores.com.
Forward Looking Statement
Statements in this press release regarding the Company that are not historical facts are forward-looking statements and are subject to risks and uncertainties that could cause actual future events or results to differ materially from such statements. Any such forward-looking statements, including, but not limited to, financial guidance, are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements can be identified by the use of forward-looking terminology such as "believe," "expect," "estimate," "may," "will," "should," "project," "plan," "seek," "intend," "anticipate," the negatives thereof, or comparable terminology. Such statements typically involve risks and uncertainties and may include financial projections or information regarding the progress of new product development. It is routine for the Company's internal projections and expectations to change as the quarter and year progresses, and therefore it should be clearly understood that the internal projections and beliefs upon which the Company bases its expectations may change. Although these expectations may change, the Company is under no obligation to inform you if they do. Actual results could differ materially from the expectations reflected in such forward-looking statements as a result of numerous factors, including the risks associated with the effect of changing economic conditions in the People's Republic of China, variations in cash flow, reliance on collaborative retail partners and on new product development, variations in new product development, risks associated with rapid technological change, and the potential of introduced or undetected flaws and defects in products. Readers are referred to the reports and documents filed from time to time by the Company with the Securities and Exchange Commission for a discussion of these and other important risk factors that could cause actual results to differ from those discussed in forward-looking statements. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.
Investor Relations Contact:
Christopher Chu, Taylor Rafferty
Tel: (908) 251-9869
Email: christopher.chu@taylor-rafferty.com
Company Contact in U.S.
Steve Liu
steve.liu@jojodrugstores.com
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