SOS Ltd. announces strategic cooperation agreement with Qingdao West Coast Healthcare Development Group
SOS Limited (NYSE: SOS) (the "Company" or "SOS") announced today that it entered into a strategic cooperation agreement with Qingdao West Coast Healthcare Development Group Co., Ltd ("Qingdao Healthcare") to cooperate in the area of health management, virtual healthcare, circulation of drugs and medical devices, senior care, and commercial insurance.
Founded in 2018, Qingdao West Coast is a state-owned enterprise incorporated in May 2018 with a registered capital of RMB 500 million. It is a healthcare conglomerate with more than 3000 cooperative hospitals and more than 100 senior centers. Its hospitals utilize internet technology to provide online and offline healthcare services. It collaborates with many national renowned pharmaceutical companies and medical institutions to develop innovative healthcare solutions. Qingdao Healthcare utilizes its smart healthcare solutions to implement the "Healthy China 2030" strategy, which is centered on achieving key goals such as improving general health conditions, raising life expectancy, effective control on main health-endangering factors, improvement in health services and expansion in the health industry by 2030. Qingdao Healthcare's mission is to fix the imbalance of public health services by integrating existing medical resources with a focus on continuously improving the level of medical and health services to the local community.
The strategic cooperation agreement establishes SOS and Qingdao Healthcare's plan to jointly promote the application and development of innovative healthcare solutions. To improve professional healthcare management and emergency rescue services, the parties plan to utilize big data, cloud computing, Internet of Things, blockchain, and artificial intelligence. Based on both parties' combined efforts to specialize in the promotion of a virtual healthcare platform via the Internet, mobile applications, and artificial intelligence robots, the strategic partnership is expected to enhance both parties' core competitiveness.
Upon entering into the collaboration, it is estimated that both parties' number of users will increase by 3 million, 7 million, and 10 million in 2021, 2022, and 2023, respectively. Additionally, with cross promotion of shared services to users, the business revenue from each party is expected to increase by RMB 500 million (approximately USD 76.3 million), RMB 600 million (approximately USD 91.6 million), and RMB 900 million (approximately USD 137.4 million) in 2021, 2022, and 2023, respectively.
The parties plan to enter into definitive agreement with concrete terms of cooperation in the near future.
SOS Chairman Yandai Wang commented, "We are excited to partner with Qingdao Healthcare through this new strategic cooperation agreement. Health innovation and technology solutions will allow further expansion of our user base with enhanced healthcare services. By combining our core competitive advantages in SOS cloud emergency rescue service software as a service (SaaS) platform with Qingdao's Healthcare's healthcare-related support management, we believe that we will become better equipped to help our customers enjoy a one-stop healthcare experience. We believe that this collaboration will also play a critical role in driving the development and market penetration of SOS' business in the medical and healthcare field."
