An Overall Agreement Achieved between Siemens and Weikang
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Siemens Ltd., China and Weikang Medical Group (”Weikang”), a leading private medical corporation, signed an “Overall Cooperation Agreement on Establishing Strategic Partnership” in Shenyang yesterday. This further demonstrates the company’s long-term commitment to healthcare development in northeast China. Under the strategic partnership, Siemens will provide competitive and innovative healthcare products and solutions to Weikang, with the aim to upgrade hospitals operated by Weikang and improve local healthcare services in the region. Mr. Wang Yibing, Executive Vice Director of Tiexi District of Shenyang, Dr. Richard Hausmann, CEO of Siemens Northeast Asia and President & CEO of Siemens Ltd., China and Mr. Liu Zhongchen, Chairman of Weikang Medical Group endorsed the agreement.
Under the agreement signed today, Siemens will provide a complete set of radiological and in-vitro diagnostic equipment to Weikang Hospital, with a total value of around RMB 70 million including a comprehensive equipment leasing solution. “China is speeding up healthcare reform to ensure accessible and affordable healthcare services for all people. We are optimistic that the emerging private capital will play a big supporting role in this process,” said Dr. Richard Hausmann, CEO Siemens Northeast Asia and President & CEO of Siemens Ltd., China. “With this we are exploring a new approach to cooperate with Chinese local partners, therefore offering a more value-added, affordable and convenient medical service to the local community.”
In order to help the hospital offering high-quality healthcare service, Siemens will also contribute its experience in regard to the optimization of hospital workflows, help provide studies and trainings of the faculties in foreign hospitals and assist Weikang to build up a clinical center for tumor diseases. “The strategic partnership with Weikang is one of the first successful examples for Siemens Healthcare in China to act as a fully integrated diagnostic solution provider comprising in-vivo and in-vitro diagnostic equipment,” said Dr. Bernd Ohnesorge, President & CEO of Siemens Healthcare Sector, Northeast Asia.
Siemens-equipped Weikang hospital will start operation by end of 2009. “The fast growth of Weikang Group triggered demand for reliable diagnostic and clinical equipment as well as a modern management model. In this regard, Siemens is an ideal partner to help us move ahead with its leading integrated medical solutions and proven management expertise,” said Mr. Liu Zhongchen, Chairman of Weikang Medical Group.
Confronting a global megatrend of an aging population, China’s healthcare system has to meet an increasing demand for a broad range of medical services. In northeast China, reform in primary healthcare and medical services has been lagging behind economic growth over the past decades, which resulted in a number of pressing problems such as inaccessibility to medical services, underdeveloped medical infrastructure, shortcoming of government funding and insufficient professional trainings. Launched in 2003, the plan of “Revitalizing Northeast China” called for strengthening of medical facilities and improving medical services to ensure and enhance people’s livelihood in the region. Under the plan, private medical groups developed rapidly, which augmented the demand for advanced healthcare technologies and solutions.
Weikang Medical Group is a leading private pharmaceutical corporation with manufacturing base and sales network in northeast China. Supported by the government policy to encourage private investment in medical services, the group expanded its business and invested in the construction of Shenyang Weikang Hospital, the first private level-three hospital in north China. By end of 2008, the hospital’s out-patient and in-patient departments were completed, covering an area of 130,000 square meters.
As early as in 1930’s, Siemens delivered X-ray machines to the hospitals in Liaoning Province, which started Siemens’ long cooperation with the region in the filed of healthcare. To date, Siemens has provided technologies and solutions for diagnostics, therapy, hospital IT, laboratory equipment and professional services to the local hospitals, which significantly increased the efficiency and quality of medical care in the region.
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