hospital-sign.gifMGT Capital Investments, a US-based investment company specialised in the healthcare IT sector, said that its Medicexchange subsidiary has opened new offices in Beijing to provide western medical device companies with a portfolio of services to assist them in entering the Chinese market.

London-based Medicexchange operates an online portal for the medical imaging sector and until now it has concentrated on the European and north American markets.

With this new announcement, Medicexchange China will offer services such as regulatory clearance, market assessments, equipment importing, translation services and online promotion.

In addition, western medical device companies will be able to use Medicexchange China's distribution network, which covers 80 percent of Tier 1 and Tier 2 hospitals in China.

MGT has a second operating company, Medicsight, which develops software solutions for imaging.

The announcement is significant on two counts: First, China's medical devices market has come of age and now makes a succulent target for western vendors, or so MGT argues. Second, many western medical device companies are relatively small operations, so they are going to need a helping hand to identify sales prospects in a fragmented and geographically dispersed market.

For these companies, the Medicexchange China portal may be just what the doctor ordered.

Elsewhere on the medical devices front:

  • Mindray Medical International, the NYSE-listed Chinese medical device manufacturer, has reported a 33% year-on-year growth in first-quarter revenues to 422m yuan and net income growth of 79%. Revenues from markets outside of China grew by more than 60% and now contribute half of the company's total revenue. The company more than doubled own-brand sales in North America, while Mindray's R&D spending in the quarter increased by 28% to 41m yuan, or 9.8% of total net revenues, up 0.2 percentage points on the year-earlier quarter. A company worth watching. More on Mindray in this story.

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