Sinopharm (国医控股) Placement - Unattractive but Inexpensive

China Drug Distribution: More "Two Invoice" Changes

Walgreens Invests in Sinopharm Retail Arm

Cardinal to Depart China: A Good Play for Distributors

Shanghai Pharma Gets Cardinal Health Deal

Founder

Kemp Dolliver, CFA

Cherrystone Hill Research

Equity Bottom-Up

Sinopharm Group Co Ltd H / Equity Bottom-Up

<a href="https://www.smartkarma.com/entities/32" target="_blank" data-smartkarma-citation="entities:32:1">Sinopharm Group Co H (1099 HK)</a> 's pending acquisition of a majority interest in China National Scientific Instruments and Materials Co. Ltd. ("CNSIM") from CNPGC marks a major expansion of its medical device distribution business and signals that the rollout of the "two-invoice" policy for medical devices should pick up in earnest.  The new policy poses some transition risks for medical device manufacturers. The magnitude of the impact is difficult to quantify because data from pilot programs is limited and anecdotal.
We view Sinopharm's acquisition of CNSIM favorably, but tag this Insight as bearish because of the heightened risk for medical device companies.

Sinopharm Group Co H (1099 HK) 's pending acquisition of a majority interest in China National Scientific Instruments and Materials Co. Ltd. ("CNSIM") from CNPGC marks a major expansion of its medical device distribution business and signals that the rollout of the "two-invoice" policy for medical devices should pick up in earnest.  The new policy poses some transition risks for medical device manufacturers. The magnitude of the impact is difficult to quantify because data from pilot programs is limited and anecdotal.
We view Sinopharm's acquisition of CNSIM favorably, but tag this Insight as bearish because of the heightened risk for medical device companies.

Shanghai Pharmaceuticals Holding (2607 HK)

Shandong Weigao Group Medical Polymer Co (1066 HK)

China Medical Devices: "Two-Invoice" Is Coming