HONG KONG, Aug. 6, 2014 /PRNewswire/ -- PW Medtech Group Limited ("PW Medtech" or the "Company" and, together with its subsidiaries, the "Group"; stock code: 1358), a leading medical device company in China, announced the Group completed the acquisition of Beijing Tianxinfu Medical Appliance Co., Ltd. ("Tianxinfu"). Health Forward Holdings Limited and Beijing Fert Technology Co., Ltd., the wholly-owned subsidiaries of the Company acquired the entire equity interest in Tianxinfu with a total consideration of approximately RMB802.6 million. Tianxinfu has become an indirect wholly-owned subsidiary of the Group and contributed its revenue to it.
Tianxinfu is a high-tech enterprise integrating research, development, production and sales service. Its main products include regenerative medical biological materials and orthopedic implant products. As a leading company in the segment, Tianxinfu's biological materials products are well recognized in China. Upon completion of the acquisition, Tianxinfu will become an indirect wholly-owned subsidiary of the Company and the Group will take over the market share of it in relation to biological materials products and will further expand the market share through synergy between the Company and Tianxinfu in research & development, production and distribution. Tianxinfu owns a total of 11 patents and has obtained 7 registration certificates for Class III medical devices. It has an extensive nationwide distribution network with over 150 distributors covering the major provinces in the PRC.
Mr. Jiang Liwei, Chief Executive Officer of PW Medtech said, "PW Medtech has long been focused on large, fast-growing and high margin segments of China's medical device industry, with our leading market positions in the existing core business segments of orthopedic implants and advanced infusion sets, and with a strong research and development capability. Upon this strategic acquisition, the Group expanded the existing product portfolio by successfully entering into the biological materials segment, which has huge growth potential and high margin. It is expected to expand more medical applications of the biological materials products in other areas with R&D investments and technology advancement in the future. Meanwhile, the Group will continue to focus on organic growth derived from its core business segments and leverage on its outstanding acquisition and integration capability to boost its sustainable development."
