China-based Zhonghong Pulin Medical Product Co., Ltd (SHE: 300981) has entered into a partnership with compatriot firm Shanghai Pharmaceutical Co., Ltd (SHA: 601607). The five-year agreement is designed to leverage and integrate the respective advantageous resources of both companies to achieve mutually beneficial outcomes. Financial details of the partnership were not disclosed.
Logistics and Distribution Services
Under the agreement, Zhonghong Medical will entrust Shanghai Pharma with the logistics and distribution services for products produced by its group company and subsidiaries. This includes the option to lease Shanghai Pharma’s logistics warehouse and delegate the management of its product inventory to Shanghai Pharma. Zhonghong Medical will prioritize granting distribution rights for its products to Shanghai Pharma, based on market conditions and under the same terms. In return, Shanghai Pharma will prioritize selecting products from Zhonghong Medical and its subsidiaries for distribution through its nationwide business network in authorized areas.
Strategic Collaboration
This strategic collaboration aims to enhance the efficiency and reach of both companies’ operations. By integrating their resources, Zhonghong Medical and Shanghai Pharma seek to optimize logistics and distribution processes, ultimately improving the availability and accessibility of medical products in the market.-Fineline Info & Tech
