Breaking News! Mindray Acquires Hytest

On May 16, Mindray Medical announced that it intends to acquire 100% of the equity of HytestInvest Oy  in Finland and its subsidiaries through its wholly-owned subsidiary MR Global (HK) Limited and Mindray Medical Netherlands BV, a wholly-owned subsidiary of MR Global (HK) Limited. The total purchase price is expected to be approximately 545 million euros.

Upon completion of this transaction, Mindray will indirectly hold 100% of Hytest Invest Oy and its subsidiaries.

Hao Wu, President of Mindray Group, said: “HyTest is a world-renowned and first-class supplier of upstream raw materials. In the past ten years of cooperation with Mindray, it has established friendship and mutual trust. We hope that after the completion of this transaction, HyTest will devote more resources to continuous technology and product development, further strengthen technological innovation and academic exploration, and serve global IVD customers with higher performance and quality products. We will firmly support HyTest to continuously increase R&D investment, continue to consolidate and enhance its core competitiveness, and maintain its leading position in the world of professional IVD upstream raw materials.” 

HyTest’s original holding fund, Summa Equity, will release an announcement to summarize from the fundamentals of the transaction: IVD is the growth engine of the global medical device market, and the growth rate of China’s IVD market leads the world. Mindray is a well-deserved leader in China's medical devices and IVD fields, and it is an enterprise with a global vision, layout and strategy. This marriage between Hytest and Mindray will open up the whole value chain of diagnostic reagents from raw materials to customers, which will help better understand and serve the global clinical IVD market demand, and help Chinese IVD enterprises to promote the internationalization process faster and better, which is the most beneficial to the development of Hytest.

Haibo Song, Chairman of China Association of In Vitro Diagnostics, said that the cooperative acquisition and reorganization in the field of in vitro diagnostics is the biggest benefit for the growth of IVD enterprises.

In 2020, Mindray Medical expanded rapidly in the international market, and the company's overseas revenue accounted for 47% of that year. As of December 31, 2020, Mindray Medical had established 39 overseas subsidiaries in more than 30 countries in North America, Europe, Asia, Africa, Latin America and other regions, and its products and solutions had been used in more than 190 countries and regions around the world.

At present, Mindray Medical has a market value of 547.3 billion yuan, ranking first among listed companies in the medical industry. According to the annual report in 2020, the revenue in the reporting period reached 21.026 billion yuan, up 27% year-on-year, and the net profit attributable to the mother reached 6.658 billion yuan, up 42.24% year-on-year. The company plans to pay a cash dividend of 25 yuan (including tax) for every 10 shares to all shareholders, and plans to pay a total cash dividend of 3.039 billion yuan. In the first quarter of 2021, the company achieved revenue of 5.781 billion yuan, a year-on-year increase of 21.93%, and realized a net profit of 1.715 billion yuan attributable to the parent, a year-on-year increase of 30.59%.