About C-MER MEDICAL Company

We are one of the leading ophthalmology service providers in Hong Kong and Guangdong Province, China. We were founded under the “Himalin Shunchao” brand in January 2012. We are headquartered in Hong Kong, China. Since our establishment, we have rapidly expanded and become the first foreign investor to establish a wholly-owned ophthalmology hospital in China. According to the Frost & Sullivan report, as of the last practical date, the Shenzhen Himalin Shunchao Eye Hospital, which we established in March 2013, is the first and only Hong Kong-funded private hospital established under the Closer Economic and Trade Partnership Arrangement (CEPA). With our pioneering advantage and our experience in providing world-class ophthalmology services in Hong Kong, China, to treat all common and difficult eye diseases, we believe we have established a leading ophthalmology hospital in Shenzhen. According to the “Patient Satisfaction” quarterly survey conducted by the Shenzhen Municipal Health and Family Planning Commission, Shenzhen Xima Hospital ranked third out of 113 public and private hospitals in Shenzhen in 2016 (all year), while it ranked second in the first quarter of 2017. Furthermore, we plan to expand our business to North China through the establishment of Beijing Hima Hospital (which is expected to commence operation in the second half of 2017). The Group was founded in January 2012 by ophthalmologist Dr. Lam Shun-chiu, who has over 30 years of clinical experience, in Hong Kong, China, to provide high-quality ophthalmology services. Since then, the Group has grown rapidly, and its network includes an ophthalmology centre and four satellite clinics at various strategic locations in Hong Kong, China. The fifth satellite clinic is expected to open in the second half of 2017. According to the Frost & Sullivan Report, in terms of revenue, our Hong Kong Clinic Himalin Shunchao Eye Center was the second-largest ophthalmology center in the Hong Kong private ophthalmology service market in 2016, with a market share of 4.7%. From 2014 to 2016, we had the highest revenue growth rate among the top five ophthalmology service providers in Hong Kong, China, with a compound annual growth rate of 29.6%. We believe Shenzhen Hima Hospital has also been successful. According to Frost & Sullivan's report, in 2016, Shenzhen Hima Hospital's revenue ranked third in the Guangdong private ophthalmology service market, with a market share of 5.4%. We provide diagnosis and treatment services for ophthalmic diseases such as cataracts, corneal and ocular surface diseases, glaucoma, vitreoretinal and macular diseases, and adjuvant treatment of eye diseases with traditional Chinese medicine. According to Frost & Sullivan's report, in 2016, in the eye disease treatment market, Shenzhen Xima Hospital ranked second among private eye hospitals in Guangdong, with a market share of 8.7%. Our business is led by two ophthalmologists with management experience and supported by other management professionals. For example, Dr. Lam Shun-chiu and Dr. Lee Yoo-wing not only have more than 20 years of clinical experience, but have also held management roles in various medical institutions and organizations (such as Hong Kong Eye Hospital and the Hong Kong Ophthalmology Association). Under the guidance of a management team led by doctors, we are able to focus our work on the quality of care services and the patient experience, and invest resources to enable our ophthalmologists and physicians to adhere to international standards of professionalism, ethics and responsibility in providing services. We are also committed to recruiting qualified ophthalmologists and doctors to form a comprehensive medical team. As of the last practical date, we have 8 ophthalmologists in Hong Kong, China, and 22 Chinese doctors, 3 of whom are overseas ophthalmologists based in China. We believe that in the near future, China's high-end ophthalmology service market will usher in huge development opportunities. According to the Frost & Sullivan report, China's ophthalmic services market reached RMB 82.7 billion in 2016 and is expected to grow at a CAGR of 14.0% during the five-year period 2016 to 2021. Furthermore, according to the Frost & Sullivan report, the size of the private ophthalmology services market in China is estimated to reach RMB 32.8 billion in 2021, or 18.4% CAGR during the same period. Building on our past success, we believe we are well-equipped to seize this growth opportunity and benefit from the rapid expansion of the Chinese ophthalmology services market in the near future. As part of our business strategy, we plan to further expand our service network in Hong Kong, China, and strategically cover China's first-tier cities as well as cities in the Guangdong-Hong Kong-Macao Greater Bay Area.