State-owned China Resources Group’s investment vehicle CR Capital has entered into an agreement with tech giant Tencent’s digital health service arm Tencent Trusted Doctors and three Chengdu local government groups to launch a 1 billion yuan ($147 million) healthcare fund, CR Capital posted on WeChat on Tuesday.
The three Chengdu local government-led entities are Chengdu Industry Investment’s subsidiary Chengdu Advanced Manufacturing Investment, Chengdu Hi-tech Investment Group, and Chengdu Xincheng Investment Group.
Financial details were undisclosed. CR Capital will serve as the fund manager.
The fund will be invested in mass healthcare including medical specialists, primary care, and emerging healthcare services. The establishment of CR Tengkang will help to enhance investment strategy in mass healthcare, and will facilitate further partnerships with Chengdu authorities, CR claims.
Founded in Hong Kong in 2006, CR Capital targets seven industries: healthcare, urban development and operation, mass consumption, energy utilisation, new materials, innovation technology, and energy savings and environmental protection.
As of June this year, CR Capital has 112 billion yuan ($16.54 billion) in assets under management. In addition, it managed 17 industry funds in China and beyond which include six healthcare care funds such as CMH Healthcare Fund and Jinrun Fund.
CR Capital’s healthcare-based portfolio comprises US Gaithersburg-based drug maker Sirnaomics, US clinical stage biopharmaceutical firm Legend Biotech, Suzhou-based CF PharmaTech, WuXi AppTec’s cell immunotherapy innovator JW Therapeutics, and Shanghai-listed Chengdu Kanghua Biological Products.
Tencent set up Tencent Trusted Doctors when it merged its arm Tencent Doctorwork with Shanghai-based digital healthcare network Trusted Doctors in August 2018, with an aim to advance its online and offline medical network in China.
Tencent Trusted Doctors develops one-stop solutions through online channels covering consultancy, big data healthcare management, and overseas medical service. Besides, it has built more than 130 brick-and-mortar clinics in the country.