Bioalpha Holdings Berhad has confirmed that Suzhou Medical systems Technology, which currently has a market capitalisation of approximately 4 billion RMB has agreed to invest 6 million RMB into the JV partnership for working capital.
The JV partnership will utilise initially 4 key proprietary formulations, perfected by Bioalpha over the years, to produce supplements that will cater to immunity boosters, general well-being, and anti-aging requirements. The group adds that subject to the success of the JV partnership, Bioalpha will introduce more proprietary formulations to deliver further health enhancement products ranging from supplements that promote longevity to those that assist with menopausal effects.
SMT’s distribution network of 600 Triple A-grade hospitals across 32 provinces in China provides Bioalpha’s supplements with an immediate turnkey customer base, potentially reaching out to the masses immediately.
“Bioalpha is extremely delighted that Suzhou Medical systems Technology Company has the confidence to invest in this JV with us to distribute our products. It speaks volumes to the confidence level that a company of this size and reputation is gearing up to take us into Greater China,” said Managing Director of Bioalpha, William Hon.
China, with the recent Covid-19 situation providing an immediate lever to spur spending on nutrition, supplements, and general preventive consumables, is expected to see a massive growth surge in this industry.
The health supplement market growth in China is stabilising at 10% per annum after a Covid-19-led spurt of 19%* in 2019. This current growth rate will see China become the largest health supplements market in the world by the end of the decade.
