BEIJING, June 20, 2024/PRNewswire/ -- Shanggao Corporation (hereinafter referred to as “Shanggao” or the “Company”; NASDAQ: SISI; a technologically advanced healthcare products and services provider) announced today that it signed an investment cooperation agreement with Beijing Oriental Meitong Technology Co., Ltd. (hereinafter referred to as “Meitong Technology”) on June 18, 2024. Shanggao will invest $20 million in Meitong Technology and hold 80% of its shares. This cooperation will further enhance our high core competitiveness and form a synergetic effect.

Meitong Technology is an “Internet+Healthcare” platform company that specializes in providing “offline shared devices+online remote operation” for patients' families. It is a leading enterprise in the domestic shared medical device industry. The company has a complete intelligent management system and has developed back-office mini-programs for various products. Currently, there are various products such as shared wheelchairs, shared nursing beds, shared transport flat beds, and shared power bank platforms, which can be individually customized according to hospital needs. At present, it has cooperated with more than 800 hospitals in China, basically covering key hospitals in all provinces and cities in China. It has put in more than 10,000 devices, used a total of 12 million+ times, and an annual cash flow of nearly 600 million yuan.

The acquisition of 80% of Meitong Technology's shares is in line with the long-term strategy of increasing cash flow, expanding business, and increasing corporate valuation. Within the next three years, Meitong Technology plans to enter the nursing, funeral, household medical equipment and medical supplies rental markets in all aspects, forming a brand matrix moat and bringing more diverse product lines and service content to patients. At the same time, we will further consolidate our domestic market share, increase the number of hospital customers in China from more than 800 to 1,500 within three years, use the resources of Shanggao listed companies to increase market development efforts for international medical institutions, and increase overseas sales by no less than 20% within three years.

Furthermore, since both parties have accumulated a large amount of demand data on the elderly and people with reduced mobility over a long period of time, the two sides plan to jointly use this data for accurate market analysis and product development to provide one-stop solutions for medical devices, healthy meals, rehabilitation and care, etc., to better meet market needs and enhance customer stickiness and satisfaction. At the same time, with Meitong Technology's extensive domestic channel resources, Shanggao will accelerate the expansion of domestic and foreign markets and enhance market penetration and international influence.

According to the investment agreement, if Meitong Technology's net profit increases to a certain standard within three years after the investment is completed (2025, 2026, 2027), and at least two core technology patents are added, Ze Shanggao will give Meitong Technology's management team a cash reward of up to 1% of the investment amount.

Ms. Jennifer, CEO of Shanggao, said, “Shanggao is pleased to make a strategic investment in Meitong Technology. As China's elderly population continues to grow, it provides huge growth opportunities for well-known companies such as Meitong Technology, and Shang Gao is eager to participate. At the same time, we believe that cooperation with Meitong Technology will bring synergy benefits to both companies and is expected to expand their market share in key markets. We look forward to partnering with Meitong Technology to achieve the core values of both companies.”

About Shanggao

Shanggao (hereinafter referred to as “Shanggao” or “Company”) aims to “focus on healthy living and improve the quality of life” by providing safe, efficient, and high-quality health and medical products and services to the community. Up to now, the company has developed 33 kinds of in vitro diagnostic reagents and related medical devices, and produces and sells healthy and nutritious foods. For more information about Shanggao, please visit.

Forward-looking statements

This press release contains “forward-looking statements” within the meaning of section 27A of the Securities Act of 1933, as amended, and section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements can be identified by terms such as “may”, “should”, “may”, “intention”, “expectation”, “plan”, “budget”, “forecast”, “hope”, “believe”, “estimate”, “forecast”, “potential”, “continue”, “evaluate” or similar terms. Forward-looking statements should not be relied upon as they are neither historical facts nor guarantees of future results. Instead, they are based solely on our current beliefs, expectations and assumptions about future business, future plans and strategies, predictions, anticipated events and trends, the economy, and other future conditions. Examples of forward-looking statements include, among other things, our innovation and market position in our products and services, our competitive advantage, and our expectation that the 5 minute cardiac test will be one of the leading products in this field to meet the need to obtain test results immediately after receiving a consultation. Please do not rely on any forward-looking statements. Actual results may differ materially from those shown in historical results or forward-looking statements due to various factors, including but not limited to the company's ability to raise additional capital, the ability to maintain and develop the business, the variability of operating results, the ability to maintain and enhance its brand, the ability to develop and introduce new products and services, the ability to obtain all necessary regulatory approvals in the jurisdiction where it intends to market and sell its products, and successfully integrate the acquired company, technology and assets into its product and service portfolio, marketing and other business development plans industry competition, general government regulations, Economic conditions, the impact of the COVID-19 pandemic, reliance on key personnel, and attracting, hiring, and retaining people with the technical skills and experience needed to meet customer requirements and protect intellectual property rights. SCC encourages you to review other factors that may affect its future results in documents submitted to the US Securities and Exchange Commission. The forward-looking statements in this press release are based solely on the information currently available to us and were published only on the date of publication of this press release. Except as required by applicable rules and regulations, Shanggao undertakes no obligation to update any forward-looking statements.

For more information, please contact:

Shineco, Inc.
email:secretary@shineco.tech  
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Precept Investor Relations LLC
David J. Rudnick
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Phone: +1 646-694-8538