AK Medical

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Group Introduction
AK Medical Holdings Limited (“AK Medical” or the “Company”) is the medical device company that has commercialized the application of 3D-printing technology in orthopedic joint and spine replacement implants in China, commanding a leading position in the Chinese orthopedic joint implant market. AK Medical designs, develops, produces and markets orthopedic implants, with a focus on hip and knee replacement implants. AK Medical’s products include orthopedic joint implants for primary surgeries as well as those specifically designed for revision surgeries for the replacement, repair or enhancement of an implant or component from a previous procedure. AK Medical also markets orthopedic products produced by third parties as a distributor to complement our product offerings to customers.

AK Medical markets its products under the brand name of “AK Medical” (“爱康”), which was the established brand of orthopedic joint implants in China by sales volume in 2017, according to Frost & Sullivan. “AK Medical” (“爱康”) was also the established domestic orthopedic joint implant brand by revenue in 2017.

AK Medical developed and introduced its personalized 3D Accurate Construction Technology solutions, or “3D ACT solutions”, in July 2014. Its 3D ACT solutions assist surgeons in simulating and planning for implant surgeries, simplify surgical processes, offer personalized surgical instruments and pre-surgery selected implants and improve patients’ recovery experience significantly. AK Medical’s off-the–shelf or 3D-printed models are regulated by the CFDA. The Company currently has three types of 3D-printed products, including 3D-printed hip replacement implants, 3D-printed spinal interbody cages and 3D-printed artificial vertebral bodies, being the orthopedic company with 3D-printed orthopedic implants approved by the CFDA.Meanwhile, according to Frost & Sullivan, AK Medical is the company that provides one-stop orthopedic surgical solutions in China, integrating all four services, namely 3D-imaging and 3D-modeling, providing 3D-printed models and developing patient-specific surgical plans, producing 3D-printed surgical instruments, producing 3D-printed joint replacement implants.

AK Medical has an extensive and growing nationwide distribution network. As of December 31, 2017, AK Medical had 650 distributors for its products, covering all of the provinces and 23 overseas jurisdictions. The Company also directly sells a portion of its products to hospitals through its wholly-owned subsidiary which holds the relevant distributor license. The Company mainly maintains these direct sales to establish and maintain direct contact with certain key end hospital customers and surgeons.