Shanghai C&D INNOSTIC Medical Technology Group Co., Ltd.

Company Profile

1. Specialized Services The medical device industry is characterized by a vast and complex array of product specifications. Unlike pharmaceuticals, the supply chain for medical devices demands a much higher degree of operational expertise and after-sales service, spanning the entire lifecycle of the product. This includes channel management, hospital market access, logistics and distribution, surgical case support, equipment maintenance and quality control, in-hospital consignment, and end-to-end usage monitoring.Since its founding, INNOSTIC has concentrated on high-impact medical device segments, including vascular intervention, surgery, IVD, ophthalmology, and orthopedics. By integrating direct sales, distribution, and in-hospital SPD services, the company has built a strong track record in supply chain operations and service delivery. This deep operational expertise enables INNOSTIC to offer fast, secure, and highly precise supply chain solutions, tailored to the complex demands of healthcare providers. These include small-batch, high-frequency, and multi-specification procurement, as well as the need for timely, diverse, and clinically specialized device usage. 2. Nationwide Footprint In response to the accelerating consolidation within the healthcare industry, INNOSTIC has built a deeply embedded national network that reaches the most granular levels of China’s medical device distribution system, the industry’s capillaries. By seamlessly integrating direct sales, distribution, and in-hospital SPD services, the company has established a fully unified and responsive national service infrastructure. This integrated operational model allows INNOSTIC to deliver scenario-based supply chain solutions that serve both upstream manufacturers and downstream healthcare providers. In doing so, the company reinforces its core competitive advantage across the medical device value chain. • Direct Sales INNOSTIC continues to strengthen its direct engagement with end-user healthcare providers, now reaching over 3,300 hospitals across 31 provinces in China. Its expansive portfolio includes more than 10,000 SKUs of medical devices. Beyond product supply, the company is expanding its service ecosystem and extending its value chain by offering a suite of value-added services, such as intelligent warehousing, precision logistics, and streamlined billing and settlement solutions. This deep integration of “product + service” increases channel stickiness and strengthens INNOSTIC’s competitive moat in a highly dynamic market. • Distribution With a strategic focus on high-value medical consumables, INNOSTIC has forged long-term, stable partnerships with over 100 leading medical device manufacturers, both domestic and international. Backed by a highly efficient, digitally enabled supply chain and extensive channel coverage, the company serves as a critical conduit for bringing advanced medical technologies into clinical practice. INNOSTIC plays a pivotal role in accelerating market access for innovative devices, particularly by facilitating their adoption in leading hospitals. At the same time, INNOSTIC supports the go-to-market journey of emerging Chinese medtech innovators, helping advance domestic alternatives to imported devices. • In-Hospital SPD Services Leveraging its proprietary smart management platform, INNOSTIC provides end-to-end, precision-based consumables management services to nearly 60 hospitals, with a total management volume exceeding RMB 10 billion. Notably, tertiary hospitals, which represent the highest level of care in China, account for 50% of these partnerships. These SPD services empower hospitals to reduce costs, enhance operational efficiency, and improve clinical resource utilization. By aligning closely with national healthcare reform goals, INNOSTIC is also driving its own strategic transformation from a traditional distributor to a value-added, service-driven healthcare partner. 3. Integrated Management INNOSTIC has built a comprehensive and standardized management framework that spans all core operational areas including business processes, service standards, risk management and compliance, financial and capital oversight, and information systems. At the heart of this framework is a centralized, intelligent digital management platform that ensures strategic alignment and operational consistency across the company’s nationwide network of branches and specialized business units. This system enables INNOSTIC to maintain high levels of coordination and control in areas such as strategic planning, business development, day-to-day operations, and regulatory compliance. Building on its nationwide integrated management foundation, INNOSTIC is aligning with the industry’s shift toward flatter, more streamlined operational structures. The company has connected its upstream-facing distribution business (“upper platform”) with its downstream-facing direct sales business (“lower platform”) to create a seamless, integrated service model. This unified approach allows INNOSTIC to deliver tailored supply chain solutions to manufacturers while efficiently executing go-to-market strategies across China. The integrated model not only accelerates the company’s business expansion but also effectively addresses key commercialization challenges faced by manufacturers, such as the high barriers, inefficiencies, policy inconsistencies, and elevated communication costs that arise from managing one-to-many relationships across fragmented regional markets. At the same time, this integrated structure helps reduce operational risks and management overhead across INNOSTIC’s national network. It enhances the company’s ability to improve operational precision, boost profitability, and strengthen its overall market competitiveness. 4. Digital & Intelligent Innovation INNOSTIC has established a specialized digital R&D team dedicated to solving the unique challenges of the medical device supply chain. In response to growing demands for traceability and fine-grained control across the entire supply chain, the company has independently developed a proprietary management system tailored for the distribution of medical devices. This intelligent platform can be customized and continuously upgraded to meet the evolving needs of both upstream manufacturers and downstream healthcare providers. By leveraging this platform, INNOSTIC has tackled long-standing industry pain points, such as duplicate coding for single items and fragmented information flows. The result is a transparent, traceable, and data-driven ecosystem for device circulation. Through lean management of core functions, including procurement, sales, and inventory, the system drives down administrative costs and significantly improves operational efficiency. In addition, the platform delivers strong data analytics and decision support for manufacturers and distributors, enabling smarter warehousing, more accurate order forecasting, optimized delivery logistics, and more reliable safety stock management. These capabilities ultimately enhance the resilience and performance of the entire medical device value chain.