Runda Medical Will Acquire the Shares of Two IVD Companies

Recently, Shanghai Runda Medical Technology Co., Ltd. disclosed to the public that the company will acquire part of the shares of two IVD companies in Anhui and Shanghai at a price of 328 million, to further improve the company's market competitiveness in east China, south China and western China.

On December 25, Runda Medical announced two acquisitions.One is Hangzhou Runda's acquisition of Hefei Sanli Medical Technology Co., Ltd.. The company will acquire 65% of Hefei Sanli Medical Technology Co., Ltd. for a total of 195 million yuan; the other announcement is that Hangzhou Runda has acquired 41% of the shares of Shanghai Runlin Medical Technology for 132.84 million yuan. And the total purchase amount is 327.84 million yuan.

According to the information, Hefei Sanli is one of the main medical laboratory comprehensive service providers in Anhui. Hefei Sanli’s main product is Siemens’, of which Siemens automated assembly line products have covered end customers in important counties and cities in Anhui Province, and it is one of the larger in vitro diagnostic product service providers in Anhui.

The scope of services of Shanghai Runlin covers eastern China, southern China and western China. The company's main business is the circulation and service of pathological in vitro diagnostic products. It is one of the most professional pathology experience center service providers in China.Shanghai Runlin and Hangzhou Runda have relatively strong business expansion synergy, and their business scale is also in a leading position in the industry. Therefore, this transaction will help improve Runda's market competitiveness in East China, South China, and West China.

Runda Medical has not stopped its acquisitions since it was listed in 2015. It has acquired more than a dozen companies in the past five years. Many mergers and acquisitions have also allowed Runda Medical's total assets to grow rapidly.In 2019, the total assets of Runda Medical were 9.033 billion yuan. When it was just listed in 2015, the total assets of Runda Medical were 1.694 billion yuan. In just four years, the company's total assets have increased by 433.28%, and many acquisitions have enhanced the market competitiveness of Runda Medical.