About KANGHUA HEALTH Company

Guangdong Kanghua Medical Co., Ltd. (“Kanghua Medical”) was established in 2002. Kanghua Hospital, which we operate, is the largest private for-profit general hospital in China. It is also the first private for-profit general hospital in China to obtain a grade 3 A rating (the highest rating a Chinese hospital can obtain). Kanghua Hospital provides continuous medical services to a variety of patients. In addition to Kanghua Hospital, we also operate Renkang Hospital. Renkang Hospital is a private for-profit general hospital serving the local community. Both hospitals are located in Dongguan and complement each other through patient referrals, technical support, multi-point practice and research, and teaching cooperation. As of April 30, 2016, Kanghua Hospital and Renkang Hospital had 2,006 and 480 registered beds respectively. In June 2016, we also signed a management agreement for the Zhonglian Cardiovascular Hospital. The developing hospital specializing in cardiovascular diseases is located in Chongqing. It is our first managed hospital and our first base outside Guangdong Province. Kanghua Healthcare specializes in many medical fields. Kanghua Hospital has a national key clinical specialty approved by the National Health Planning Commission in plastic surgery; three key clinical specialties in Guangdong Province approved by the Guangdong Provincial Health Planning Commission in terms of cardiology, general surgery, and medical imaging; and two specialty specialties in Dongguan approved by the Dongguan Municipal Health Planning Bureau in spine and joint surgery and thoracic surgery, respectively. According to Frost & Sullivan, Kanghua Hospital has (i) the largest cardiology department; (ii) the largest obstetrics and gynecology department; and (iii) the second-largest orthopedic department among private general hospitals in South China. Kanghua Healthcare has strong brand awareness and competitive advantage in the Pearl River Delta region. It can provide a range of medical services through medical professionals and multidisciplinary teams at advanced medical facilities, and has achieved outstanding results in many major disciplines; we have achieved remarkable results in operating China's first top three private for-profit general hospitals. Our business is focused on providing continuous care to patients through our multi-disciplinary private for-profit general hospital. We will focus on expanding medical services, including VIP medical services, high-end reproductive medicine, advanced oncology service delivery, neurological services, high-end preventive health services, and comprehensive geriatric care. We aim to further develop our hospital network, continue to invest to maintain clinical advantage, and use our rich experience to create value and improve patient satisfaction. Adhering to the corporate purpose of “being born for good, carrying medicine with good virtue”, we are committed to providing a high level of medical services to the public and contributing to improving the overall level of medical care in the region around patients' needs.