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1、F-1 1 hxszf1.htm As filed with the Securities and Exchange Commission on August 19,2023.UNITED STATESSECURITIES AND EXCHANGE COMMISSIONWashington,D.C.20549 FORM F-1REGISTRATION STATEMENTUNDERTHE SECURITIES ACT OF 1933 HONGXU SHANGZENG GLOBAL HOLDINGLTD(Exact name of Registrant as specified in its ch
2、arter)United Kingdom 5047 Not Applicable(State or other jurisdiction of(Primary Standard Industrial(I.R.S.Employerincorporation or organization)Classification Code Number)Identification Number)32 BLACKFRIARS ROAD,LONDON,SE1 8DPUNITED KINGDOMTEL:+44 07803580338(Address,including zip code,and telephon
3、e number,including area code,of Registrants principal executive offices)Copies to:Approximate date of commencement of proposed sale to the public:As soon as practicable after the effective date of thisRegistration Statement.If any of the securities being registered on this Form are to be offered on
4、a delayed or continuous basis pursuant to Rule 415under the Securities Act of 1933,check the following box.oIf this Form is filed to register additional securities for an offering pursuant to Rule 462(b)under the Securities Act,pleasecheck the following box and list the Securities Act registration s
5、tatement number of the earlier effective registration statementfor the same offering.oIf this Form is a post-effective amendment filed pursuant to Rule 462(c)under the Securities Act,check the following box andlist the Securities Act registration statement number of the earlier effective registratio
6、n statement for the same offering.oIf this Form is a post-effective amendment filed pursuant to Rule 462(d)under the Securities Act,check the following box andlist the Securities Act registration statement number of the earlier effective registration statement for the same offering.oIndicate by chec
7、k mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of1933.Emerging growth company xIf an emerging growth company that prepares its financial statements in accordance with U.S.GAAP,indicate by check mark ifthe registrant has elected not to use the
8、 extended transition period for complying with any new or revised financial accountingstandards provided pursuant to Section 7(a)(2)(B)of the Securities Act.xThe Registrant hereby amends this registration statement on such date or dates as may be necessary to delay its effective dateuntil the Regist
9、rant shall file a further amendment which specifically states that this registration statement shall thereafterbecome effective in accordance with Section 8(a)of the Securities Act,as amended,or until the registration statement shallbecome effective on such date as the Securities and Exchange Commis
10、sion,acting pursuant to said Section 8(a)may determine.The information in this preliminary prospectus is not complete and may be changed.We may not sell these securities until theregistration statement filed with the Securities and Exchange Commission is effective.This preliminary prospectus is not
11、anoffer to sell these securities,and we are not soliciting offers to buy these securities in any state where the offer or sale is notpermitted.I PRELIMINARY PROSPECTUS(Subject to Completion)Dated August 19 2023.PRELIMINARY PROSPECTUSORDINARY SHARES We are offering ordinary shares.This is the initial
12、 public offering of ordinary shares of.The offering price of ourordinary shares in this offering is expected to be$8.20 per share.Prior to this offering,there has been no public market for ourordinary shares.We have applied to list our ordinary shares on the Nasdaq Capital Market under the symbol“HX
13、SZ”.There is no assurance thatsuch application will be approved,and if our application is not approved,this offering may not be completed.Investing in our ordinary shares involves a high degree of risk.Before buying any shares,you should carefully read thediscussion of material risks of investing in
14、 our ordinary shares in“Risk Factors”.We are an“emerging growth company”as defined under the federal securities laws and,as such,will be subject to reducedpublic company reporting requirements.See“Prospectus SummaryImplications of Being an Emerging Growth Company”foradditional information.Neither th
15、e Securities and Exchange Commission nor any other regulatory body has approved or disapproved of thesesecurities or passed upon the accuracy or adequacy of this prospectus.Any representation to the contrary is a criminaloffense.We are a holding company incorporated in the United Kingdom as a holdin
16、g company.The Ordinary Shares offered in thisprospectus are shares of the United Kingdom holding company.Holders of our Ordinary Shares will own shares of a UnitedKingdom holding company.The UK regulatory authorities could disallow our corporate structure,which would likely result in amaterial chang
17、e in our operations and/or a material change in the value of our Ordinary Shares,including that it could cause thevalue of our Ordinary Shares to significantly decline or become worthless.Unless otherwise stated,as used in this prospectusand in the context of describing our operations and consolidat
18、ed financial information,“we,”“us,”“Company,”or“our,”refersto HONGXU SHANGZENG GLOBAL HOLDING LTD,a United Kingdom holding company.For a description of ourcorporate structure,see“Corporate History and Structure.”See also“Risk Factors Risks Relating to Our Corporate Structure.”PER SHARE TOTAL Initial
19、 public offering price$Underwriting discounts and commissions(1)$Proceeds,before expenses,to us$(1)Does not include accountable and non-accountable expense allowance payable to underwriters.Please see the section ofthis prospectus entitled“Underwriting”for additional information regarding underwrite
20、r compensation.II We expect our total cash expenses for this offering(including cash expenses payable to our underwriters for their out-of-pocketexpenses)to be approximately$,exclusive of the above commissions.In addition,we will pay additional items of value inconnection with this offering that are
21、 viewed by the Financial Industry Regulatory Authority,or FINRA,as underwritingcompensation.These payments will further reduce proceeds available to us before expenses.See“Underwriting.”Neither we nor any of the underwriters have authorized anyone to provide any information or to make any representa
22、tions otherthan those contained in this prospectus or in any free writing prospectuses we have prepared.Neither we nor any of theunderwriters take responsibility for,and can provide no assurance as to the reliability of,any other information that others maygive you.This prospectus is an offer to sel
23、l only the shares offered hereby,but only under circumstances and in jurisdictionswhere it is lawful to do so.The information contained in this prospectus is current only as of its date,regardless of the time ofdelivery of this prospectus or of any sale of our common stock.For investors outside the
24、United States:Neither we nor any of the underwriters have done anything that would permit thisoffering or possession or distribution of this prospectus in any jurisdiction where action for that purpose is required,other thanin the United States.Persons outside the United States who come into possess
25、ion of this prospectus must inform themselvesabout,and observe any restrictions relating to,the offering of the shares of our common stock and the distribution of thisprospectus outside the United States.Neither the Securities and Exchange Commission nor any state securities commission nor any other
26、 regulatory body hasapproved or disapproved of these securities or determined if this prospectus is truthful or complete.Any representation to thecontrary is a criminal offense.III TABLE OF CONTENTS PageAbout This ProspectusVINTERNATIONAL FINANCIAL REPORTING STANDARDSVIMARKET AND INDUSTRY DATAVITRAD
27、EMARKSVISPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTSVIIPROSPECTUS SUMMARY1THE OFFERING20RISK FACTORS21INDUSTRY AND MARKET DATA43USE OF PROCEEDS44DIVIDEND POLICY45CAPITALIZATION46DILUTION47CORPORATE HISTORY AND STRUCTURE48MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OFO
28、PERATIONS49BUSINESS58MANAGEMENT83PRINCIPAL SHAREHOLDERS87DESCRIPTION OF SHARE CAPITAL88SHARES ELIGIBLE FOR FUTURE SALE93TAXATION95UNDERWRITING98WHERE YOU CAN FIND ADDITIONAL INFORMATION100INDEX TO FINANCIAL STATEMENTS101 IV Table of Contents About This Prospectus This prospectus is part of a registr
29、ation statement on Form F-1 that we filed with the Securities and Exchange Commission(the“SEC”).As permitted by the rules and regulations of the SEC,the registration statement filed by us includes additionalinformation not contained in this prospectus.You may read the registration statement and the
30、other reports we file with the SECat the SECs website described below under the heading“Where You Can Find More Information”.The information contained in this prospectus is accurate as of the date on the front of this prospectus only,regardless of the timeof delivery of this prospectus or of any sal
31、e of our Common Shares.Our business,financial condition,results of operations andprospects may have changed since that date.This prospectus contains summaries of certain provisions contained in some of the documents described herein,but reference ismade to the actual documents for complete informati
32、on.In this prospectus,unless the context otherwise requires:references to“Common Shares”or“our shares”refer to common shares of HONGXU SHANGZENG GLOBALHOLDING LTD;references to the“Company,”“we,”“us,”“our”and“HXSZ”refer to HONGXU SHANGZENG GLOBAL HOLDINGLTD;references to“dollars,”“U.S.dollars,”“USD,
33、”“$,”and“US$”are to United States Dollars;“U.S.GAAP”refers to generally accepted accounting principles in the United States;references to the“SEC”are to the United States Securities and Exchange Commission.Market data and certain industry data and forecasts used in,or incorporated by reference in,th
34、is prospectus were obtained fromsources we believe to be reliable,including market research databases,publicly available information,reports of governmentalagencies and industry publications and surveys.We have relied on certain data from third-party sources,including internalsurveys,industry foreca
35、sts and market research,which we believe to be reliable based on our managements knowledge of theindustry.Forecasts are particularly likely to be inaccurate,especially over long periods of time.In addition,we do notnecessarily know what assumptions regarding general economic growth were used in prep
36、aring the third-party forecasts we cite.Statements as to our market position are based on the most currently available data.While we are not aware of anymisstatements regarding the industry data presented in this prospectus,our estimates involve risks and uncertainties and aresubject to change based
37、 on various factors,including those discussed under the heading“Risk Factors”in this prospectus.Ourhistorical results do not necessarily indicate our expected results for any future periods.Certain figures included in this prospectus have been subject to rounding adjustments.Accordingly,figures show
38、n as totals incertain tables may not be an arithmetic aggregation of the figures that precede them.We have obtained the statistical data,market data and other industry data and forecasts used in this prospectus and in our SECfilings incorporated herein by reference from publicly available informatio
39、n.We have not sought the consent of the sources torefer to the publicly available reports in this prospectus.V Table of Contents INTERNATIONAL FINANCIAL REPORTING STANDARDS Our financial statements are prepared in accordance with the International Financial Reporting Standards as issued by theIntern
40、ational Accounting Standards Board.Our fiscal year ends on December 31 of each year as does our reporting year.We have made rounding adjustments to some of the figures included in this prospectus.Accordingly,numerical figures shownas totals in some tables may not be an arithmetic aggregation of the
41、figures that precede them.MARKET AND INDUSTRY DATA This prospectus contains references to industry market data and certain industry forecasts.Industry market data and industryforecasts are obtained from publicly available information and industry publications.Industry publications generally state th
42、atthe information contained therein has been obtained from sources believed to be reliable,but that the accuracy and completenessof that information is not guaranteed.Although we believe industry information to be accurate,it is not independently verifiedby us.Some data is also based on our good fai
43、th estimates,which are derived from our review of internal surveys or data,aswell as the independent sources referenced above.Assumptions and estimates of our and our industrys future performance arenecessarily subject to a high degree of uncertainty and risk due to a variety of factors,including th
44、ose described in“RiskFactors.”These and other factors could cause future performance to differ materially from our assumptions and estimates.See“Cautionary Note Regarding Forward-Looking Statements.”TRADEMARKS We own or have rights to various trademarks,service marks and trade names that we use in c
45、onnection with the operation of ourbusiness.This prospectus also contains additional trademarks,trade names and service marks belonging to other companies.Solely for convenience,trademarks,trade names and service marks referred to in this prospectus may appear without the,or SM symbols,but such refe
46、rences are not intended to indicate,in any way,that we will not assert,to the fullest extent underapplicable law,our rights or the right of the applicable licensor to these trademarks,trade names and service marks.We do notintend our use or display of other parties trademarks,trade names or service
47、marks to imply,and such use or display should notbe construed to imply,a relationship with,or endorsement or sponsorship of us by,these other parties.VI Table of Contents SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS Various statements contained in this prospectus,including those that express a
48、belief,expectation or intention,as well as thosethat are not statements of historical fact,are forward-looking statements.These forward-looking statements may includeprojections and estimates concerning our possible or assumed future results of operations,financial condition,businessstrategies and p
49、lans,market opportunity,competitive position,industry environment,and potential growth opportunities.Insome cases,you can identify forward-looking statements by terms such as“may”,“might”,“will”,“should”,“believe”,“expect”,“could”,“would”,“intend”,“plan”,“anticipate”,“estimate”,“continue”,“predict”,
50、“project”,“potential”,“target,”“goal”or other words that convey the uncertainty of future events or outcomes.You can also identify forward-lookingstatements by discussions of strategy,plans or intentions.We have based these forward-looking statements on our currentexpectations and assumptions about
51、future events.While our management considers these expectations and assumptions to bereasonable,because forward-looking statements relate to matters that have not yet occurred,they are inherently subject tosignificant business,competitive,economic,regulatory and other risks,contingencies and uncerta
52、inties,most of which aredifficult to predict and many of which are beyond our control.These and other important factors,including,among others,thosediscussed in this prospectus under the headings“Risk Factors”,“Managements Discussion and Analysis of Financial Conditionand Results of Operations”and“B
53、usiness”,may cause our actual results,performance or achievements to differ materially fromany future results,performance or achievements expressed or implied by the forward-looking statements in this prospectus,including among other things:our future financial performance,including our expectations
54、 regarding our revenue,cost of revenue,operating expenses,including capital expenditures related to asset-intensive offerings,our ability to determine reserves and our ability toachieve and maintain future profitability;risks inherent in an WHOLESALE-MEDICAL,DENTAL&HOSPITAL EQUIPMENT&SUPPLIES busine
55、ss;our ability to develop and market new products;the continued market acceptance of our products;exposure to product liability claims and actions;risks associated with product recalls;the sufficiency of our cash,cash equivalents and investments to meet our liquidity needs;our ability to manage oper
56、ations-related risk;our expectations and management of future growth;our expectations concerning relationships with third parties;the impact of COVID-19 on the Company;our ability to maintain,protect and enhance our intellectual property;our ability to successfully acquire and integrate companies an
57、d assets;the increased expenses associated with being a public company;exposure to product liability and defect claims;protection of our intellectual property rights;damage to our reputation due to negative publicity;changes in the laws that affect our operations;inflation and fluctuations in foreig
58、n currency exchange rates;our ability to obtain all necessary government support;certifications,approvals,and/or licenses to conduct our business;continued development of a public trading market for our securities;the cost of complying with current and future governmental regulations and the impact
59、of any changes in the regulations onour operations;risks related to our international operations in the United Kingdom,including the implications of the United Kingdomsrecent withdrawal from the European Union;VII Table of Contents risks associated with expansion into new jurisdictions;managing our
60、growth effectively;fluctuations in operating results;emerging market risks;global economy risks;our ability to maintain and enhance our market position;our ability to obtain and maintain adequate insurance coverage;our ability to identify and integrate strategic acquisitions,investments and partners
61、hips and to manage our growth;our ability to continue to develop new technologies and/or upgrade our existing technologies;dependence on our senior management and key employees;our ability to maintain the listing of our securities on Nasdaq;our ability to continue to develop new technologies and/or
62、upgrade our existing technologies;andother factors set forth under“Risk Factors.”We caution you that the foregoing list may not contain all of the forward-looking statements made in this prospectus.You should not rely upon forward-looking statements as predictions of future events.We have based the
63、forward-lookingstatements contained in this prospectus primarily on our current expectations and projections about future events and trends thatwe believe may affect our business,financial condition,results of operations and prospects.The outcome of the eventsdescribed in these forward-looking state
64、ments is subject to risks,uncertainties and other factors,including those described in thesection titled“Risk Factors”and elsewhere in this prospectus.Moreover,we operate in a very competitive and rapidly changingenvironment.New risks and uncertainties emerge from time to time and it is not possible
65、 for us to predict all risks anduncertainties that could have an impact on the forward-looking statements contained in this prospectus.We cannot assure youthat the results,events and circumstances reflected in the forward-looking statements will be achieved or occur,and actualresults,events or circu
66、mstances could differ materially from those described in the forward-looking statements.These and other factors are more fully discussed in the“Risk Factors”,“Managements Discussion and Analysis of FinancialCondition and Results of Operations”and“Business”sections and elsewhere in this prospectus.Th
67、ese risks could cause actualresults to differ materially from those implied by the forward-looking statements contained in this prospectus.All forward-looking statements included herein attributable to us or any person acting on our behalf are expressly qualified intheir entirety by the cautionary s
68、tatements contained or referred to in this section.Any forward-looking statement that we makein this prospectus speaks only as of the date of this prospectus.Except as required by applicable law,we do not undertake anyobligation to update or revise,or to publicly announce any update or revision to,a
69、ny of the forward-looking statements in thisprospectus,whether as a result of new information,future events or otherwise,after the date of this prospectus.VIII Table of Contents As filed with the Securities and Exchange Commission on August 19,2023.PROSPECTUS SUMMARY This summary highlights selected
70、 information contained elsewhere in this prospectus that we consider important.This summarydoes not contain all of the information you should consider before investing in our Common Shares.You should read thissummary together with the entire prospectus,including the risks related to our business,our
71、 industry,investing in our CommonShares and our location in British that we describe under“Risk Factors”and our consolidated financial statements and therelated notes before making an investment in our securities.Our Mission HONGXU SHANGZENG GLOBAL HOLDING LTD is a brand company focusing on providin
72、g high-quality and high-techmedical and health management services to people who are afraid of old age,death and loneliness and who are in need ofcentenarian project,precision medicine and elderly care industry.It has a complete service process and well-developed medicalequipment,with a powerful dig
73、ital system that accurately matches individual needs to form a personalised medical plan.Thecompany focuses on service innovation in the medical and healthcare management services market,providing precise,specialised,full-cycle care and management.It obeys the highest law of the universe,the princip
74、le of entropy increase,and doesthe top-level design of the whole life and health industry chain,which regulates and manages the universes living organisms(human beings,animals,plants,and microorganisms)from the three dimensions of matter,energy,and information,so as torealise the transition from ent
75、ropy increase to entropy decrease.It has constructed an industrial model with independentintellectual property rights,an industrial development nucleus and an industrial chain.In particular,it applies cutting-edgetechnologies of modern medicine,such as molecular medicine,quantum medicine,artificial
76、intelligence and innovativeapplications of traditional Chinese medicine,to a wide range of applications in the healthcare and rehabilitation Industry.HONGXU SHANGZENG GLOBAL HOLDING LTDs vision is to create a new business of centenarian project with precisetherapeutic control,health and happiness.Al
77、though old age,sickness and death are natural laws,people are particularly worriedabout aging,illness and sudden death.The company directly addresses the real pain points of life and health management andmodern medical services,providing precise,professional and full-cycle services to address the ri
78、gid needs of the three fears.HONGXU SHANGZENG GLOBAL HOLDING LTD aims to establish three industrial ecosystems,namely,a chain ofprecision medical hospitals with specialised features(focusing on cardiovascular,cerebrovascular and oncology),a chain of lifeand health full-cycle digital intelligence man
79、agement and a chain of light-asset chain operations in the elderly care industry,andto build a brain science,life database,genetic engineering,cellular engineering,biochemical engineering,bio-engineeringupstream and downstream industrial chain.HONGXU SHANGZENG GLOBAL HOLDING LTDwill adhere to the te
80、net of driven by science and technology,independent innovation,leapfrogging,and leading development,and adhere to and realise the vision of being a leader in thedevelopment of life and health,and pension industry.The vision of creating a new format of precision medicine regulation andhealthy and hap
81、py centenarian project.To build a value ecosystem that cherishes life and harmonious coexistence;respectsscience and independent innovation;walks steadily and pays homage to fellow travellers,and to make contributions to the bestof our ability to achieve the community of human destiny is our mission
82、.1 Table of Contents Overview of Our Company HONGXU SHANGZENG GLOBAL HOLDING LTD is a high-tech medical and health management service companycommitted to being a leader in the development of life,health and elderly care industry,and to creating a new format ofprecision medicine regulation and health
83、y and happy centenarian project.The company takes the principle of entropy increaseas the fundamental,does the top-level design of industry plus capital,and is the industry leader of precision medicine andchronic disease management,the leader of precision control of subhealth management,the advocate
84、 of centenarian project andthe practitioner of technology-driven in the senior care industry.We are the industry leader in precision medicine and chronicdisease management,the leader in precision control of sub-health management,the advocate of centenarian project and thepractitioner of technology-d
85、riven pension industry.The founders have forty years of experience in life sciences and clinicalmedicine in the field of life and health technology,management,products,services and the accumulation of human resources.Based on the principle of entropy increase of the proprietary top-level design of t
86、he technology path,the company wasestablished to use the knowledge accumulated over the years of analysis of the combination of theory and practice to specialisein guiding the implementation of medical and health projects on the ground.Through high-tech technical equipment and digitaloperation tools
87、 such as intelligent equipment,big data analysis and digital operation,we scientifically and accurately analysemedical and health management plans and needs,and construct an industrial ecosystem and industry chain that includes healthmanagement,elderly care services,social interaction and mental hea
88、lth.By providing personalised services and products,wecan meet the needs of different groups of people and achieve long-term corporate growth and value creation.The company will hold on to the key of life science and technology,based on the enterprises proprietary technology andmanagement path,and b
89、uild a large ecology of early warning management system for cardiovascular and cerebrovasculardiseases,oncology rehabilitation management,novel regulation management of diabetes mellitus,core management of chronicdisease tissue hypoxia,personalised regulation management of the intestinal flora,and t
90、he diagnostic and training system ofAlzheimers disease in the industry chain.Truly precise regulation,prevention of major diseases,delaying senescence,andhealthy longevity.At the same time,with the help of lifes big database,physical regulation,chemical regulation,biologicalregulation,psychological
91、regulation and artificial intelligence,we create our own centenarian project brand and service.In terms of the upstream and downstream industry chain,the company will also cover all aspects of genetic engineering,cellengineering,biochemical engineering,bioengineering,and artificial intelligence,form
92、ing an industrial closed loop for theenterprise.Synchronise the formation of the companys full cost leadership market development strategy.In the development ofthe industrial ecological chain,the company develops with the help of capital externalisation.To realise the vision of creatingnew format of
93、 precision medicine regulation and healthy and happy centenarian project.History and Development HONGXU SHANGZENG GLOBAL HOLDING LTD was incorporated on 9 August 2023 and has its registered office at 32BLACKFRIARS ROAD,LONDON,UNITED KINGDOM.Since its inception,the company has been committed to drivi
94、nginnovation in medical and health services.The company takes the principle of entropy increase as the fundamental,does thetop-level design of industry plus capital,and is the industry leader of precision medicine and chronic disease management,theleader of precision control of subhealth management,
95、the advocate of centenarian project and the practitioner of technology-driven in the senior care industry.Through the construction of industrial models with independent intellectual property rights,industrial development nuclei and industrial chains,the cutting-edge technologies of modern medicine,s
96、uch as molecularmedicine,quantum medicine,artificial intelligence,and innovative applications of traditional Chinese medicine,are widelyapplied to the healthcare and rehabilitation Industry.Based on the enterprises proprietary technology and management path,it builds a large ecology of of early warn
97、ingmanagement system for cardiovascular and cerebrovascular diseases,oncology rehabilitation management,novel regulationmanagement of diabetes mellitus,core management of chronic disease tissue hypoxia,personalised regulation management ofthe intestinal flora,and the diagnostic and training system o
98、f Alzheimers disease in the industry chain.Truly precise regulation,prevention of major diseases,delaying senescence,and healthy longevity.At the same time,with the help of lifes big database,physical regulation,chemical regulation,biological regulation,psychological regulation and artificial intell
99、igence,we create ourown centenarian project brand and service.2 Table of Contents At the same time,we have established three industrial ecosystems,namely,a chain of precision medical hospitals withspecialised features(focusing on cardiovascular,cerebrovascular and oncology),a chain of life and healt
100、h full-cycle digitalintelligence management and a chain of light-asset chain operations in the elderly care industry,and to build a brain science,lifedatabase,genetic engineering,cellular engineering,biochemical engineering,bio-engineering upstream and downstreamindustrial chain.In summary,our compa
101、ny has been committed to driving innovation and growth in medical market services since its inception.The company takes the principle of entropy increase as the fundamental,does the top-level design of industry plus capital,andis the industry leader of precision medicine and chronic disease manageme
102、nt,the leader of precision control of subhealthmanagement,the advocate of centenarian project and the practitioner of technology-driven in the senior care industry.Throughdigital operations and integration with medical resources,we will reach our mission of being a leader in the development of lifea
103、nd health and retirement industries.The Industry(1)Industry analysis The medical industry is the totality of a range of health-related industries such as hospitals,pharmaceuticals,devices,healthmanagement and other related industries.With the development of society and the improvement of peoples hea
104、lth awareness,the concept of healthy living and lifestyle are gradually being valued and welcomed by people,and the number of peopleundergoing medical and health management is increasing day by day,and the market size of the medical industry is steadilyincreasing.The concepts of comprehensive health
105、 have begun to spread,and the previous focus on treating illnesses hasgradually shifted to a focus on peoples health.Since then,the governments have continued to introduce policies to promote thediversified development of the comprehensive health industry.With socio-economic development and the awak
106、ening of thepeoples deeper health consciousness,the people have a higher-quality understanding and pursuit of health.Currently,the upstream of the medical industry includes medicine R&D and production,medical apparatus R&D andproduction,and national policies;the midstream includes hospitals,healthca
107、re service organisations,and sales of medicine andmedical apparatus;and the downstream includes health workers and patients.Against the background of Internet development,technological advancement and favourable policies,the medical and healthindustry has continued to develop,especially since the ou
108、tbreak of the new coronary pneumonia epidemic,health managementhas been increasingly valued by people,and the medical industry has accelerated its penetration into the online world,resultingin the rapid development of the medical industry.This shows that the medical industry has a bright future.(2)I
109、ndustry Data.Medical Industry Market SizeCOVID-19 has permanently transformed the global medical industry by not only accelerating the adoption of new technologiesand healthcare delivery models and increasing the focus on sustainability and resilience,it has also exacerbated existingworkforce challe
110、nges and global gaps in healthcare equity.Long-term sustained COVID-19 is both a challenge and anopportunity.The medical industry can take the opportunity to overhaul itself,capitalising on emerging trends that have been inplace since before the epidemic,and continue to explore clinical innovations
111、and new models of care delivery.3 Table of Contents With the improvement of peoples living standards,the aging of the population and the increasing awareness of residents healthmanagement,the demand for medical and health services continues to increase,a large amount of data is showing explosive and
112、geometric growth,data analysis and management efficiency is greatly improved,the combination of clinical research and bigdata is gradually tightened,the data key technologies such as data lake and master data management will be gradually scaled upto the application of an integrated integration model
113、 for the traditional industry to empower and trigger change,and big data isdriving the entire development of medicine.With the advancement of the construction of regional data centres and the continuous influx of social capital,the vitality ofenterprise growth continues to burst forth,and the scale
114、of the medical and healthcare big data industry continues to expand,growing from approximately US$256 million in 2015 to approximately US$2,906 million in 2021,with a compound annualgrowth rate of approximately 50%,and the preliminary statistics of the market size of the medical big data in 2022 wil
115、l increaseapproximately to approximately US$4,120 million.Market structure of the medical industryIn 2025,the entire medical market is estimated to be about US$1.07 trillion,the number of public hospitals accounted for 30%,private hospitals accounted for 70%,but private hospitals accounted for only
116、133.638 billion share.Therefore,private hospitalshave huge room for development by switching to precision medicine and high-end health management to achieve overtaking.In 2035,todays medical models,technology pathways and development approaches will not be able to meet the needs of themiddle class b
117、y then.Market size of medical and health servicesIn recent years,due to the rapid development of the Internet and the economy,the size of the healthcare market has beengrowing.Especially since the outbreak of the COVID-19,comprehensive health has become peoples basic needs,healthmanagement has been
118、valued by people,the medical industry has accelerated its penetration into online,and the size of theonline medical market has grown rapidly.Industrial structure of the medical and health services marketIn terms of market structure,the products and services provided by the healthcare market can be b
119、roadly classified into anumber of production and service areas closely related to human health,such as medical services,pharmaceutical andhealthcare products,nutritional and healthcare foodstuffs,medical and healthcare devices,leisure and healthcare services,andhealthcare consulting and management.(
120、3)Pain points.There exists a large number of sub-healthy people,there is no quality product that can prevent and improve them,and theycan gradually improve their body functions and physical fitness and prevent major diseases through regular health managementand regular life.Since the outbreak of the
121、 COVID-19,the concept of health awareness of the whole population has been on therise.WHOs World Health Statistics Report 2023 shows that global life expectancy has increased dramatically over the decades,and that this increase in life expectancy has been accompanied by an increase in the burden of
122、non-communicable chronicdiseases(NCDs).in 2000,61%of global deaths(31 million)were related to NCDs,and this increased to 74%(41 million)by2019.in 2019,four major chronic diseases,including diabetes mellitus,4 major chronic diseases caused about 33.3 milliondeaths,a 28%increase compared to 2000.These
123、 four chronic diseases are cardiovascular disease(17.9 million deaths),cancer(9.3 million deaths),chronic respiratory disease(4.1 million deaths),and diabetes mellitus(2 million deaths).4 Table of Contents.With a high technical threshold,medicine is a discipline with very high barriers to the profes
124、sion.If only from the theoreticalaspect of learning,medicine,compared with physics,mathematics and other disciplines,may not be the highest professionalbarriers,and it may not be impossible for ordinary people to learn across the profession.However,medicine is not only atheoretical subject,but also
125、a practical one,and in many aspects,it is a summary of ones own experience.Nowadays,thedevelopment of medicine is becoming more and more refined,and there is more and more knowledge in each discipline,eachspeciality,and each department.New knowledge has not yet been digested,and perhaps newer knowle
126、dge has overthrown theformer.Medical barriers do not only appear between professionals and laymen,but also between professionals in differentmedical fields.Low customer trust,fierce competition in the market,single inefficient promotion channel.The most common way to spreadthe word is to assign peop
127、le around the business to hand out flyers or through word of mouth from customers.Considering thatpeople suffering from more serious illnesses are more sceptical about the authority of private hospitals or related healthcareservice companies,and are more likely to go to some of the more famous publi
128、c hospitals,the coverage of private hospitals orrelated healthcare service companies in the entire healthcare industry is relatively narrow.Competition in the market,whetherwith public hospitals or equally positioned companies,is fierce.The use of the Internet traffic dividend is still lacking,onlin
129、e health care is emerging,the current medical industry in theface of the Internet wave can not keep pace with the footsteps will be eliminated,embrace the Internet,to explore a morehealthy and sustainable development of the business model is more favourable.Lack of data analysis,resulting in weak pe
130、rsonalised services,vague and imprecise data on members specific bodyindicators,varying levels of service,and differentiation between high and low levels of private hospitals.Different levels ofmedical staff,uneven service quality,and the inability to regulate in place are all urgent challenges for
131、many medical andhealthcare service companies.Difficulty in reaching users pain points and needs,and lack of customised medical solutions for users of different ages andwith different needs.Hospitals in the traditional healthcare industry seldom provide health management services or have highservice
132、costs,and lack of personalised and customised healthcare solutions for users of different ages and with different needs.There is a serious shortage of professional talents and resources in the medical industry,and the training cycle of talents inthe medical industry is long and the cost of training
133、is high.College medical students need to go through this special transitionalstage of training,that is,through clinical practice,to train senior talents with high theoretical expertise and operational skills,and to deliver excellent talents to lower-level hospitals.Many tertiary medical students giv
134、e up the medical profession becausethey cannot tolerate the high intensity of work or the relatively low salary during the period of training,which has greatlyincreased the difficulties in training medical talents.(4)Industry forecasts.Policies drive the healthcare industry In recent years,many plac
135、es have introduced a number of policies to boost the development of the medical industry,but alsoreleased a number of medical industry planning,etc.,to encourage the innovative development of the healthcare industry.COVID-19 swept the world,bringing unprecedented impact on the medical and healthcare
136、 industry,and many governmentsencourage residents to home healthcare,boosting the development of home healthcare,Internet healthcare and other industries.It is expected that the development of the medical industry will develop rapidly under the fuelling of government policies,which will promote the
137、market expansion of the medical industry.5 Table of Contents The medical industry has a very bright future,and the introduction of laws and regulations has provided a strong policy andregulatory basis for the development of the industry.The government has introduced laws,regulations and policies on
138、the healthcare industry,developing the healthcare servicesystem around the whole life cycle of the people towards high-quality and all-round development.traditional Chinese medicinefor preventive treatment of disease,healthcare products,Internet plus healthcare and so on have become the starting poi
139、nts tooptimise the layout of the healthcare system.Traditional Chinese medicine for preventive treatment of disease,health care,andInternet plus medical care have become the starting point,leading the way and optimising the layout.Planning in 2025 tobasically build a complete system,reasonable layou
140、t,clear division of labour,complementary functions,close collaboration,efficient operation,resilient,high-quality and efficient integrated health care service system,the level of prevention,control andtreatment of major epidemics and response to public health emergencies is significantly improved,th
141、e national medical centre,regional medical centres and other major bases have made significant progress in the construction of a full range of full-cyclehealth services and security The capacity of all-round and full-cycle health services and protection has been significantlystrengthened,the Chinese
142、 medicine service system has become more sound,and efforts have been made to enable the generalpublic to enjoy fair,accessible,systematic and continuous high-quality medical and health care services close to their homes.Increased demand for healthcare fuelling the healthcare industry In 2020-2025,du
143、e to the continuous improvement of residents income level and quality of life,the awareness of healthcare,hygiene,healthcare,wellness and other health consumption and the concept of consumption will gradually deepen,and therewill be a transition to the demand for healthy and high-quality life,and th
144、e residents demand for healthcare consumption willincrease significantly,and the level of consumption will continue to increase.It is reported that by 2050,there will be nearly 2billion people over the age of 60 globally,with the United States,Japan,Australia,South Korea and Finland experiencingseri
145、ous ageing problems.The Office for National Statistics conducts a census every 10 years,and the latest census data showsthat:population ageing continues,with more people in the UK over 65 than ever before.The 2021 census results show that thetrend of an ageing population in the UK continues.Specific
146、ally,18.6 per cent(11.1 million)of the population of England andWales are over 65,up from 16.4 per cent(9.2 million)in 2011.In 2021,for the first time ever,the number of people over 65 inthe UK exceeded the number of people under 15.The census also shows that not only are there more older people in
147、the UK,they are also living longer,with the number of over 90s breaking the half a million mark for the first time.Around 0.9 per centof the population(528,000)are now aged 90 and over.In 2011,the figure was 429,000,or 0.8 per cent of the total population.Increasing ageing will inevitably lead to an
148、 increase in the elderly population,an increase in their need for medical care,and anincrease in medical education to improve their physical condition.The Office for National Statistics reports that total healthcare expenditure grew by 0.7%in nominal terms between 2021 and2022.Government expenditure
149、 fell by 1.1%.By contrast,non-government financing of healthcare grew by an estimated 9.5%in2022.Total healthcare spending in 2022 was around 26.8%(60 billion)greater in nominal terms and 13.5%greater(32 billion)inreal terms than the amount spent in 2019.Healthcare expenditure represented 11.3%of gr
150、oss domestic product(GDP)in 2022,lower than the share of 12.4%in 2021.This reduction was caused by nominal growth in healthcare expenditure being outpaced by growth in the overall economy in2022.Healthcare expenditure representing around 10%of the overall economy between 2009 and 2019.Government hea
151、lthcarespending in 2022 was in the region of 230 billion,accounting for over four-fifths(81.5%)of total healthcare expenditure.Thiswas a fall in nominal terms of 1.1%,or 6.2%in real terms,compared with spending in 2021.Health spending had grown by31.9%between 2019 and 2021 because of the impact of t
152、he coronavirus(COVID-19)pandemic.6 Table of Contents Non-government healthcare expenditure grew by around 9.5%in nominal terms,or 3.9%in real terms in 2022.Expenditure onhealthcare financed through non-government schemes is estimated at approximately 52 billion in 2022,an increase of roughly9.5%in n
153、ominal terms on 2021.Of the two non-government schemes that represent consumer spending,out-of-pockethealthcare expenditure increased by 10.4%,while voluntary health insurance schemes grew by 4.3%.Intelligence in the healthcare industry leads to growth in the healthcare industry With the popularisat
154、ion of the Internet and the improvement of science and technology,the degree of intelligence in the medicalindustry is increasing.Intelligent medical care can enable sensor devices and home medical equipment to automatically or self-help collect all kinds of signs and symptoms data of human life,and
155、 at the same time,it can integrate the existing in-hospital,out-of-hospital and genetic medical data to realise the extensive sharing and in-depth utilisation of the data,and to provide long-term,rapid and stable health monitoring and diagnostic and therapeutic services to the sub-healthy people,the
156、 elderly and thepatients with chronic illnesses at a relatively low cost.Market restructuring in the healthcare industry and rapid expansion of online healthcare market size Due to the impact of COVID-19,health management has gradually gained importance,traditional medical health managementhas been
157、affected,and the trend of online medical treatment has begun to increase.In recent years,due to the rapid developmentof the Internet,the size of the online medical market has been growing.Especially since COVID-19,comprehensive healthhealth has become peoples basic needs,the medical and health indus
158、try has been valued by people,the medical industry hasaccelerated its penetration into online,and the size of the online medical market has grown rapidly.Healthcare market structure rich in optimisation and market penetration gradually increasing In terms of market structure,the products and service
159、s provided by the medical and healthcare market can be broadly classifiedinto a number of production and service areas closely related to human health,such as medical services,pharmaceutical andhealthcare products,nutritional and healthcare foods,healthcare devices,leisure and healthcare services,an
160、d health consultationand management.In recent years,with the development of the healthcare industry as people focus on health,the penetration rateof the healthcare market has been increasing.Our Solution(1)Major consumer groups of products or services As the economy continues to develop,the relative
161、ly affluent middle class continues to grow,and their demand for high-qualitymedical services in hospitals has increased.In the wake of the COVID-19 sweep,people are also accelerating their healthcareawareness and concepts,pursuing better health and meeting higher demands for healthcare services.(2)T
162、he main reason for the product or service purchased by the consumer.As people grow older,they become more concerned about their health and aging.HONGXU SHANGZENG GLOBALHOLDING LTD targets the elderly in cardiovascular and cerebrovascular disease,tumours,diabetes mellitus,Alzheimersdisease,senility a
163、nd other major chronic diseases,providing a series of business opportunities and solutions.7 Table of Contents.It is common for people to have a fear of death that can affect their health and quality of life.Through the full realisation ofdigital management and digital diagnosis,the implementation o
164、f digital,visual and minimally invasive surgical treatment,DaVinci Robot-assisted Surgical System,the upgrading of the AI-assisted series of laparoscopic technology,digital medication andprecise and intelligent rehabilitation wearable devices,etc.have been widely applied.Fundamentally change the cur
165、rent clinicalsituation,which is dominated by subjective judgement and human experience,and carry out a comprehensive digitalconstruction and transformation.With the aging of the population and the intensification of urbanisation,the generation gap between the elderly and theyoung is gradually wideni
166、ng and loneliness is becoming a common problem.HONGXU SHANGZENG GLOBAL HOLDINGLTD leverages on-line and off-line linkages to construct an industrial ecosystem and industry chain that includes the fields ofhealth management,elderly care services,social interaction and mental health.By providing perso
167、nalised services and products,it can meet the needs of different groups of people and achieve long-term corporate development and value creation.(3)The companys current position in the industry and its target position HONGXU SHANGZENG GLOBAL HOLDING LTD is a high-tech medical and health management s
168、ervice companycommitted to being a leader in the development of life,health and elderly care industry,and to creating a new format ofprecision medicine regulation and healthy and happy centenarian project.At present,the company can build an industrialecosystem and industry chain around the three fea
169、rs of the middle class,including health management,elderly care services,social interaction and mental health,etc.The company can meet the needs of different people by providing personalised servicesand products,and achieve long-term development and value creation.Through the provision of personalis
170、ed services andproducts,we can meet the needs of different groups of people and achieve long-term development and value creation.At present,the company is striving to become the industrys first in the field of medical and healthcare by using scientific andprofessional medical theory solutions and in
171、telligent data analysis systems,and is constantly innovating and introducing high-tech digital analysis technologies to enhance its core competitiveness.The company takes the principle of entropy increase asthe fundamental,does the top-level design of industry plus capital,and is the industry leader
172、 of precision medicine and chronicdisease management,the leader of precision control of subhealth management,the advocate of centenarian project and thepractitioner of technology-driven in the senior care industry.(4)Sales channels.New Media Network Platform Promotion:Build your brand on social medi
173、a platforms such as Twitter,Instagram,TikTok,etc.,promote your services and products,connect with potential customers,and increase exposure and visibility.Franchise chain of regional agents:by taking the city,district and county areas of the agency,in the region according to thespecific market condi
174、tions to open a number of outlets,the formation of HONGXU SHANGZENG GLOBAL HOLDING LTDfull life cycle of digital precision management and the composition of HONGXU SHANGZENG GLOBAL HOLDING LTDfranchise chain platform.Membership system digital import joint promotion platform:through the analysis of b
175、ig data,advertisements are placed topotential customers at appropriate times and scenarios,e.g.to provide medical and health management services to people withhigher medical and health management needs and those who are in contact with medical and health management for the firsttime.National Compreh
176、ensive Health Industry Alliance Supply Chain Platform:Through the construction of a smart supply chainplatform for the comprehensive health industry,it empowers enterprises to optimise industrial efficiency,improve informationaccuracy,achieve integration of relevant resources,reduce operating costs
177、and operational risks,and help enterprises expandnew opportunities in the digital comprehensive health market.8 Table of Contents.Partner marketing:co-operate with relevant business franchisees to allow them to recommend their services and products tocustomers,increasing awareness and exposure.Recom
178、mendation and word-of-mouth marketing:through the provision of quality services and products,so that customerswho buy services and products are satisfied and leave positive feedback,so that more potential customers in the wait-and-seestage to understand and services,to increase visibility and exposu
179、re.Our Products And Services HONGXU SHANGZENG GLOBAL HOLDING LTD is committed to the development of the medical and healthcaremanagement industry under the impetus of the general environment,and owns a number of advanced technologies and patents,and has developed a variety of series of products,whic
180、h are broadly listed as follows:(1)Detection and analysis of medical equipment series products:Hongxu Entropy Enhancement Company launched digestivegastrointestinal endoscopy AI equipment,genetic testing equipment,immunohistochemical staining detection system,automaticnucleic acid extractor,fully au
181、tomatic multiple pathogen detection analyzer,fluorescence ration PCR instrument,Kh-s106dyeing and sealing integrated machine and other medical equipment,medical equipment play a different role,for professionalsin medical research to provide a great help.Each medical device plays a different role and
182、 provides great assistance to themedical research of professionals.For example:.Genetic testing equipment.Through genetic testing,people can understand their own genome composition,genetic variationand other genetic information,so as to better understand their own physical condition and health risks
183、;can predict the risk ofsuffering from certain diseases,to help people take appropriate preventive measures to reduce the risk of disease;guidepersonalised health management:genetic testing can provide personalised health management advice to individuals,such asdiet,exercise,drug selection,etc.,to h
184、elp people better maintain their health.Genetic testing can provide individuals withpersonalised health management advice,such as diet,exercise,drug selection,etc.,to help people better maintain their health.Automatic nucleic acid extractor.Automatic nucleic acid extractor is a medical research inst
185、rument used in the field ofpreventive medicine and public health to fully automate the purification of genomic DNA from samples such as blood,animaland plant tissues,dried blood slices,mouse tails,etc.;and to fully automate the purification of total viral nucleic acid fromsamples such as serum,plasm
186、a,swabs and nasopharyngeal secretions.Fully automatic multiple pathogen detection analyzer.The air is filled with various pathogens that are not visible to thenaked eye,and if the skin and mucous membranes are damaged or the health condition is declining,the chances of peoplefalling ill increase.Ful
187、ly automatic multiple pathogen detection analyzer can assist the relevant healthcare personnel to carry outinspections,analyse the data of the patients body,and determine the cause of the disease.Fluorescence ration PCR instrument.Fluorescence quantitative PCR is an efficient,sensitive and rapid PCR
188、 technologywhich can quantitatively detect the amount of DNA or RNA.Fluorescence quantitative PCR technology has the advantages ofhigh sensitivity,high specificity,high accuracy and high reproducibility,and it can be applied to gene expression analysis,pathogen detection,gene mutation detection,geno
189、type analysis and other fields.Fluorescence quantitative PCR technology hasbecome one of the indispensable technical means in molecular biology and biomedical research.Kh-s106 dyeing and sealing integrated machine.Dyeing machine and sealing machine form an integrated dyeing and sealingworkstation,an
190、d there is no need for a separate transfer device,after dyeing,it is directly transported to the sealing machinethrough the robot to seal the film,reducing the possibility of material contamination loss,freeing up the hands of the inspectors,and improving the efficiency of the inspection.9 Table of
191、Contents(2)Medical test reagent series products:HONGXU SHANGZENG GLOBAL HOLDING LTD launches medical test reagentssuch as nucleic acid extraction reagent,fluorescence quantitative PCR test reagent,etc.Used in conjunction with the relevantmedical testing equipment,each medical test reagent plays a di
192、fferent role.(3)Medical device series products in clinical application:HONGXU SHANGZENG GLOBAL HOLDING LTD launchedgastrointestinal endoscopy AI equipment,targeting the problem of endoscopys existence of blind zones that lead to the leakageof lesion diagnosis,invented the method of real-time monitor
193、ing of endoscopys blind zones,solving the shortcomings of thetraditional method that is difficult to be performed in a homogeneous manner,and breaking through the industrys bottleneckproblem.Aiming at the problem of early gastrointestinal cancer with slight mucosal changes,which leads to serious mis
194、s-diagnosis and misdiagnosis,we have invented a real-time accurate diagnostic method for early gastrointestinal cancer,whichhas reached the international leading level.In healthcare,endoscopy has always been an important part of medical screening,and the effective use of endoscopic AI tools can impr
195、ove clinical decision-making,reduce medical variables and enhancetreatment outcomes.The application of artificial intelligence in the field of digestive endoscopy has also become a populardirection in the past two years.A good digestive endoscopy artificial intelligence,can make excellent,experience
196、d doctors bebetter,become the doctors right-hand assistant,but also can shorten the learning cycle of new doctors,to help alleviate theproblem of strained medical resources in some areas.In the future,HONGXU SHANGZENG GLOBAL HOLDING LTD will continue to develop and improve its medical productsand sy
197、stems,taking into account the different needs of consumer groups,so that everyone can have his or her own privatemedical and healthcare plan through intelligent system analysis,and formulate a more suitable healthcare plan for himself orherself.Our business model HONGXU SHANGZENG GLOBAL HOLDING LTD
198、has boldly explored reforms and innovations in traditional medicalprocesses and life and health management,forming an eco-innovative business model of digital intelligent medical and healthmanagement,which is mainly promoted through the following two management lines:(1)Intelligent Hospital Chain Li
199、ne:The implementation of precision medicine in the whole hospital line is the fundamentalguarantee for the future sustainable development of private hospitals in the digital era,as well as a necessary condition forchanging lanes and surpassing public hospitals.We have fully implemented digital manag
200、ement and digital diagnosis,digital,visual and minimally invasive surgical treatment,Da Vinci Robot-assisted Surgical System,AI-assisted series of upgradedlaparoscopic technology,digital drug therapy and precision intelligent rehabilitation wearable devices.It will fundamentallychange the current si
201、tuation where the clinic is dominated by subjective judgement and human experience,and promote theprocess of big data covering the medical livelihood.(2)Life and health full-cycle management line:mainly facing the high-end population of chronic disease management,the high-end population of subhealth
202、 control and the high-end population with demand for centenarian project.Based on our proprietarysix technology paths,we will carry out a comprehensive digital construction and transformation of the traditional products andservices of sub-health management and chronic disease control.10 Table of Con
203、tents This project belongs to the life and health sector,precision medicine and quantum medicine,covering the upstream anddownstream industrial chain of genetic engineering,cell engineering and bioengineering.There are three major segments:firstly,hospital large speciality small comprehensive chain;
204、secondly,life and health full-cycle digital intelligent managementchain;thirdly,elderly care industry merger and acquisition chain.Based on the top-level design,the life database formed by the seven major histologies,i.e.genes,transcription,proteins,metabolism,cells,microorganisms and metallomics,is
205、 the core of the industrial ecosystem,and the science and technologyenterprises related to it are the strategic partners.Science and technology-based enterprises engaged in genetic engineering,cellengineering,biochemical engineering,bioengineering,artificial intelligence wear and other related techn
206、ologies form upstreamand downstream industrial chain relationships with our industrial ecology.The rapid development of our own industrialecosystem directly stimulates and promotes the development of the upstream and downstream industrial chain.Hospital to cardiovascular,brain and oncology rehabilit
207、ation centre as a professional discipline,take the route of precisionmedicine,customers to the speciality features of the general patients and high-end demand for self-funded groups.Mergers andacquisitions of private for-profit hospitals are mainly substantive mergers and acquisitions of holdings an
208、d consolidatedstatements of the two modes,consolidated statements of the mode of three years for a period of time,can not be transformedand upgraded will be abandoned.Life and health full-cycle digital intelligence management centre,with direct investment,cooperation and brand franchisemode.Characte
209、rised by precise regulation and unique six technical routes,it takes the high-end membership route of preciseregulation.Pension takes the route of brand,management model,technology output,and asset-light operation.Elderly solution toaccurately regulate chronic diseases without leaving the hospital,a
210、utonomous and controllable,stem cell anti-aging.The construction of the three industrial ecosystems focuses on addressing the rigid needs of the middle class for fear of oldage,fear of death and fear of loneliness.Our Competitive Strengths HONGXU SHANGZENG GLOBAL HOLDING LTD,through its unique and p
211、owerful online and offline linkage capabilities,can build an industrial ecosystem and industry chain around the three fears of the middle class,including health management,elderly care services,social interaction and mental health.By providing personalised services and products,we can meet theneeds
212、of different groups of people and achieve long-term development and value creation.HONGXU SHANGZENG GLOBAL HOLDING LTD has become a competitive company in the field of medical andhealthcare management by utilising scientific digital intelligent medical devices,profound professional medical theories
213、andpractices and data analysis systems.It breaks the current clinical situation dominated by subjective judgement and humanexperience,and based on the proprietary six technological pathways,it will carry out a comprehensive digital construction andtransformation of the traditional products and servi
214、ces for subhealth management and chronic disease regulation.The platformwill use big data to analyse the physical data of the objects and provide them with more suitable personalised services andproducts based on the data provided by the intelligent system,which can meet the needs of different group
215、s of people.It ishoped that throughthe construction of industrial models with independent intellectual property rights,industrial developmentnuclei and industrial chains,the cutting-edge technologies of modern medicine,such as molecular medicine,quantum medicine,artificial intelligence,and innovativ
216、e applications of traditional Chinese medicine,are widely applied to the healthcare andrehabilitation Industry.To be a leader in the development of the life and health and elderly care industry.To creat the vision of anew format of precision medicine regulation and healthy and happy centenarian proj
217、ect.To build an ecosphere of values thatvalues life and harmonious coexistence,respects science and independent innovation,and pays tribute to fellow travellers.Italso serves the customers of HONGXU SHANGZENG GLOBAL HOLDING LTD through the layout of offline shops.11 Table of Contents With the trend
218、of an aging population,there is an increasing demand for the senior care industry.Combined with thedevelopment plan of HONGXU SHANGZENG GLOBAL HOLDING LTD,its competitive advantages can be brieflysummarised as follows:(1)User data.HONGXU SHANGZENG GLOBAL HOLDING LTD accurately matches individual nee
219、ds with its powerfuldigital system through its unique and powerful online-offline linkage capability.The combination of online and offline canattract more user traffic and help HONGXU SHANGZENG GLOBAL HOLDING LTD to expand its market share effectively.(2)Professional services.HONGXU SHANGZENG GLOBAL
220、 HOLDING LTD is able to build and transform the traditionalproducts and services of sub-health management and chronic disease control into a comprehensive digitalisation process basedon its proprietary six technology pathways.Using big data to analyse the physical data of the target group,and based
221、on the dataprovided by the intelligent system,we can provide them with more suitable personalised services and products that can meet theneeds of different groups of people.(3)Brand awareness.HONGXU SHANGZENG GLOBAL HOLDING LTD will create and form a high-profile brand benefitthrough the investment
222、and distribution of various advertisements,as well as the Companys own high-quality service level,diversified service content,and innovative business scope that keeps pace with the times,etc.,to help the Company stand outfrom the fierce competition in the market.(4)Diversified service content.HONGXU
223、 SHANGZENG GLOBAL HOLDING LTD will provide diversified service content,including online and offline services,according to the different needs of social groups,to help users better satisfy their needs,increase user satisfaction and loyalty,and thus lock in user traffic.(5)Social media channels:HONGXU
224、 SHANGZENG GLOBAL HOLDING LTD will promote itself through various socialmedia channels.This will help the company to promote its services and attract more users,and at the same time,through theonline social media platforms,it will help HONGXU SHANGZENG GLOBAL HOLDING LTD to better promote thecommuni
225、cation and interaction between the company and the users,and better understand the users needs for their healthrequirements and physical fitness under the economic conditions and cultural background of the contemporary society.Our Challenges(1)The market is highly competitive.When it comes to health
226、care companies,McKesson Corporation is a U.S.-based,publiclytraded healthcare industry chain company founded in 1833 and renamed McKesson Corporation in 1984,headquartered inIrving,Texas.Founded by John McKesson and Charles Olcott,McKesson Corporation is a leading global provider of supply,informati
227、on and healthcare management products and services.The products and services offered are designed to reduce costsand improve quality for the entire healthcare industry.McKessons solutions help healthcare professionals deliver servicesefficiently and increase capacity.The company provides supply chai
228、n management services for both pharmaceuticals andmedical/surgical as well as integrated delivery networks,large numbers of hospitals and clinics,and more.The largest portion of McKesson Corporations business is based on its wholesale pharmaceutical business,which wholesalespharmaceuticals,health an
229、d cosmetic products,medical supplies,and equipment to all 50 states through its 30 distributioncentres located throughout the United States.The companys operations are divided into three main segments:PharmaceuticalSolutions,Medical-Surgical Solutions,and Provider Technologies.There is intense compe
230、tition in the healthcare market,with major companies venturing into the space to offer a variety ofinnovative solutions.For a fledgling high-tech healthcare management services company,it is difficult to stand out in the marketcompared to competitors who have already established their brands and cus
231、tomer bases.(2)Technological challenges.High-tech medical and healthcare management service companies need to be equipped withadvanced technological capabilities in order to meet users needs for real-time data,virtual reality and augmented reality,andother technologies.However,the development and ap
232、plication of these technologies require significant investment in capitaland human resources,and it is often difficult for startups,in particular,to bear these risks and costs.12 Table of Contents(3)Lack of a stable profit model.In the field of medical and healthcare management operations,the profit
233、 model is not clear,and companies often rely on health checkups,health assessments,or cooperation with nursing homes to generate revenue.However,due to the fierce competition in the market,advertisers have limited platforms willing to invest money,andcooperation with brands requires the establishmen
234、t of a reliable user base and brand image,which is a challenge for startups.(4)User cultivation and retention is difficult.High-tech medical and healthcare management service companies need to attractusers,cultivate user stickiness and keep them active.However,this requires constant delivery of valu
235、able content andexperiences,as well as interaction and engagement with users.For start-up companies,they often lack sufficient resources andcapabilities to meet user needs,which can lead to user churn.(5)Laws and policy restrictions.The operation of medical and healthcare management services involve
236、s the collection,storageand use of user data,and a number of countries and regions have enacted strict regulations and policies regarding personalprivacy and data security.High-tech medical and healthcare management service companies need to spend a great deal of effortand resources to ensure compli
237、ance with relevant protection of user privacy and data security.Overall,high-tech medical and healthcare management service companies are facing new challenges to their operations in termsof fierce market competition,technical difficulties,unstable profit models,difficulties in user cultivation and
238、retention,andregulatory and policy restrictions.Solving these problems requires companies to have innovative capabilities,financial strengthand effective marketing strategies,as well as to co-operate with relevant government departments and industry organisations tojointly promote the development of
239、 the healthcare industry.Our market opportunity Against the current backdrop of Internet development,technological advancement and favourable policies,the medical andhealthcare industry is showing a trend of continuous development.Especially since the outbreak of COVID-19,peoplesattention to physica
240、l health has been increasing,which has accelerated the pace of online penetration of the medical andhealthcare industry and the rapid development of health management business.However,it is currently difficult to create a dominant player in the open social space.Due to the diversified market demand
241、andpeoples preference for the content setting of health management programmes,there is a situation where multiple competitorsare competing together.Although the market is highly competitive,it also provides an opportunity for HONGXUSHANGZENG GLOBAL HOLDING LTD to seize the market lead.HONGXU SHANGZE
242、NG GLOBAL HOLDING LTD,as a competitive enterprise,should take the initiative to adapt to thechanges in market demand,actively seek development opportunities and seize the lead in the current international situation.Firstly,the Company should pay close attention to consumers needs and preferences for
243、 medical and healthcare managementservices,and launch more personalised and differentiated products and services for different groups of people.Secondly,thecompany should strengthen the cooperation with related enterprises to achieve rapid development through resource sharing andmutually beneficial
244、cooperation mode.At the same time,the Company also needs to increase its investment in technologicalinnovation and make use of advanced technological means such as artificial intelligence and big data analysis to improve theefficiency of product development and operation and provide consumers with a
245、 better experience.In addition,when facing the international market,HONGXU SHANGZENG GLOBAL HOLDING LTD should also activelyexpand the overseas market to find more partners and customers.By formulating a scientific internationalisation strategy andcombining local market demands and cultural characte
246、ristics,the company will be able to promote its rapid development inoverseas markets.13 Table of Contents In conclusion,the current international situation provides HONGXU SHANGZENG GLOBAL HOLDING LTD with a broadspace for development to seize market opportunities.The company can achieve its rapid d
247、evelopment and market leadership bypaying close attention to market demand,strengthening cooperation,increasing investment in scientific and technologicalinnovation and expanding overseas markets.What we do HONGXU SHANGZENG GLOBAL HOLDING LTD is a healthcare company.Based on the enterprises propriet
248、arytechnology and management path,it builds a large ecology of of early warning management system for cardiovascular andcerebrovascular diseases,oncology rehabilitation management,novel regulation management of diabetes mellitus,coremanagement of chronic disease tissue hypoxia,personalised regulatio
249、n management of the intestinal flora,and the diagnosticand training system of Alzheimers disease in the industry chain.Truly precise regulation,prevention of major diseases,delayingsenescence,and healthy longevity.At the same time,with the help of lifes big database,physical regulation,chemicalregul
250、ation,biological regulation,psychological regulation and artificial intelligence,we create our own centenarian projectbrand and service.Our Corporate Structure Our company implements a general manager responsibility system under the leadership of the board of directors,and consists ofa strategic pla
251、nning department,a human resources department,a marketing and operations department,a brand managementdepartment,a financial and risk management department,a digital information department,a hospital business managementdepartment,a life and health full-cycle management department,and a elderly care
252、industry department.The company is headedby Mr.Qiancheng Qiu as Chairman of the Board,Mr.Guanming Qiu as Chief Executive Officer and Ms.Xuefei Wangas Chief Financial Officer.The management team has several core personnel to ensure that the company operates in a legallycompliant manner and also to en
253、sure that the companys business develops.Company Structure Flowchart 14 Table of Contents Our Strategy(1)2023 Corporate Planning Preparation Period:HONGXU SHANGZENG GLOBAL HOLDING LTDs full life cycle digital accurate management of the composition andHONGXU SHANGZENG GLOBAL HOLDING LTDs franchise ch
254、ain platform construction is completed.Creating acentenarian project and launching a specialised retirement industry.(2)2024 Promoting Expansion,Financing and Acquisitions:.Promote healthcare membership system into HONGXU SHANGZENG GLOBAL HOLDING LTD digital eco-platform forhealthcare industry by ut
255、ilising the membership system of government departments and healthcare associations,senior citizensassociations and other sectors.Construction of HONGXU SHANGZENG GLOBAL HOLDING LTD medical format headquarter base and model industrialpark,forming a medical and health management display and experienc
256、e area with multi-format integration.Acting as an agent for medical and health brand products to serve the domestic market online and offline to expand sales,build HONGXU SHANGZENG GLOBAL HOLDING LTD digital medical and health management chain,and open up theintegration of online and offline members
257、hip systems.Initiate NASDAQ listing process.(3)In 2025,patent filing,industrial expansion and ringing the listing bell:.Completion of the theoretical system for the protection of intellectual property rights of patents of independent brands,intelligent medical equipment,etc.Expansion of domestic mar
258、ket sales of self-branded products.Improvement of HONGXU SHANGZENG GLOBALHOLDING LTD Thousands of Cities and Ten Thousand Stores on-line and off-line chain organisations.Financing,merging and acquiring upstream and downstream enterprises and high-quality products in the medical and healthindustry ch
259、ain to form a profit core value system.Helping other enterprises to create customised HONGXU SHANGZENGGLOBAL HOLDING LTD self-developed brand products.Ring the listing bell on NASDAQ.(4)It is expected to complete the brand layout and improve the international market in 2026:.HONGXU SHANGZENG GLOBAL
260、HOLDING LTDs private label medical intelligence products enter the internationalhealthcare market.Financing,mergers and acquisitions to help more other corporate brands enter the international trade market.Form a digital smart medical product agency retail platform of international scale.Formation o
261、f a 10 million level universal healthcare membership data system.Risk Factors Summary HONGXU SHANGZENG GLOBAL HOLDING LTD is a high-tech medical and health management service companycommitted to being a leader in the development of life,health and elderly care industry,and to creating a new format o
262、fprecision medicine regulation and healthy and happy centenarian project,the factors affecting its operation can be broadlydivided into social and objective factors and intra-company factors.15 Table of Contents(1)Social and objective factors.Physical fitness and population structure.With the genera
263、l state of physical fitness and a stable demographic structure,themarket outlook for high-tech medical and health management service companies will be relatively stable.The market prospectsof high-tech medical and healthcare management service companies will be affected if there are changes in physi
264、cal fitnessconditions and demographics,such as a general rise in peoples physical fitness or an ageing population.The level of economic development.The level of economic development also has an impact on the market outlook for high-tech medical and health management services companies.When the level
265、 of economic development is high,people will meetthe basic needs of survival and at the same time pay more attention to the quality of life,and peoples demand for a healthy lifewill increase,which will promote the development of high-tech medical and health management service companies.Sociocultural
266、 context.The socio-cultural context also affects the market prospects of high-tech medical and healthmanagement service companies.In a society where the pursuit of thinness and aesthetics and the concept of avoiding medicaltreatment are predominantly held,the development of high-tech medical and hea
267、lth management service companies may belimited;whereas in a society where the pursuit of well-proportioned health is more important,and people hold the concepts ofregular medical check-ups and treating illnesses as they arise,the market prospects of high-tech medical and health managementservice com
268、panies are likely to be better.The socio-legal system.The socio-legal system has an impact on the operation of high-tech medical and health managementservice companies,and if the socio-legal system is not sound,high-tech medical and health management service companies willface greater risks.If the s
269、ocio-legal system is not sound,high-tech medical and health management service companies will facegreater risks.Injuries arising from medical treatment cannot be protected by the legal system,and people will lose basicconfidence in medical treatment,leading to a decrease in demand for medical treatm
270、ent.The internet technology.The development of Internet technology has an impact on the operations of high-tech medical andhealth management services companies.The development of digital and intelligent high-tech medical and healthcaremanagement service companies depends on the development of contem
271、porary Internet technology,and those who fail to adaptto the needs of Internet technology will be at risk of becoming obsolete.Economic globalisation.Economic globalisation has made the market competition for high-tech medical and healthmanagement service companies more intense,and the geographical
272、scope of the origin of parts for medical devices is no longerconfined to a single region,but rather to countries around the world.Therefore,companies need to improve theircompetitiveness by improving the quality of their services.(2)Intra-company factors.Cultural values.The cultural values of a high
273、-tech medical and health management services company will determine thecompanys ethical bottom line and code of conduct,which will have a direct impact on employees and customers within thecompany.Recruitment and Training.Companies need to recruit good people to ensure the long-term development of t
274、he organisation.In addition,training of employees is also an important task for the organisation to ensure that they are equipped to meet theneeds of the companys development.Organisational structure and management model.The organisational structure and management model of an enterpriseaffects the w
275、orking atmosphere and incentives of internal employees,which in turn affects the performance of the enterprise andcustomer satisfaction.Financial status.High-tech medical and health management service companies need a stable financial position to supporttheir operations and development,which require
276、s them to plan their budgets wisely,control their costs and seek financialsupport.Product or service innovation.High-tech medical and health management service companies need to constantly innovate toensure the competitiveness of their products,which requires innovative people in the organisation to
277、 constantly explore andexperiment with new products or services.Customer satisfaction.Customer satisfaction is one of the key indicators of business development,which determinescustomer loyalty and recommendation and has a positive impact on the business.Branding and publicity.Enterprises need to in
278、crease their visibility and reputation through branding and publicity,whichhelps to attract more talented people and customers and increase their market share.Partnership.Enterprises need to establish good co-operation with other related enterprises to achieve the purpose ofresource sharing and mutu
279、al benefit,and to further expand their business scope.Overall,HONGXU SHANGZENG GLOBAL HOLDING LTDs market prospects as a high-tech medical and healthcaremanagement services company depend on many factors,but with the development of the society and the increasing demand ofpeople,as well as the good c
280、onstruction of its own brand,the high-tech medical and healthcare management services companyhas a potential for development.16 Table of Contents Trademarks The trademark of HONGXU SHANGZENG GLOBAL HOLDING LTD is shown in Figure.The trademark of HONGXUSHANGZENG GLOBAL HOLDING LTD consists of the Chi
281、nese name and the lower part of the entropy symbol S,highlighting the name of the company.The purpose of this design is to create a link between the company name and thetrademark,and it can be seen at a glance by the customer,creating an impression that will be firmly remembered in thecustomers mind
282、.The+at the top of the main body of the trade mark name,using the symbol of a cross,can intuitively showour companys main industries to customers,so that customers can clearly understand that our companys main business isrelated to the medical industry.In addition to this,the main colour palette of
283、our trademark consists of red and white.Red is thecolour of flame and blood,and when used in the medical aspect of trademark design,it also represents the heart,symbolisingkindness and love.图 In addition to trademarks,we are involved in a number of intellectual property issues in the course of our b
284、usiness,of which thetypes of intellectual property rights that HONGXU SHANGZENG GLOBAL HOLDING LTD is most likely to be involved inare set out below:(1)Patents for inventions:Companies with unique technological innovations in the development of smart medical devices andhealthcare management solution
285、s can apply for patents for inventions to protect their exclusivity in the field.Invention patentsare for true technological innovations and require novelty,inventiveness and utility.(2)Utility Model Patents:In addition to invention patents,companies can also apply for utility model patents to prote
286、ct newstructures,shapes or combinations of products.Compared with invention patents,utility model patents have lower requirementsand focus on product design and functional innovation.For example,a company can file a utility model patent application forthe design and structure of an intelligent medic
287、al device to gain an advantage in market competition.(3)Trademarks:Trademarks are signs used to distinguish the source of a product or service and can be words,patterns,graphics,colours,etc.A company may use a distinctive trademark for the smart medical devices and medical healthmanagement solutions
288、 it produces so that consumers can identify and recognise the companys products.Registration of a trademark provides legal protection against unauthorised use of the same or similar trade mark by others.(4)Copyright:Healthcare management programmes may involve the creation of software programs,algor
289、ithms,interfacedesigns,and so on.These creations can be protected through copyright law.The company can register the source code andrelated documentation for copyright after the software development is completed to ensure exclusive rights and interests in thesecreations.17 Table of Contents(5)Indust
290、rial design patents:The design of an intelligent medical device can also be protected through industrial design patentsto ensure that other companies do not copy the appearance of the product.Industrial design patents focus on the appearance andshape of the product and ensure that the company has a
291、competitive advantage in the market through patent protection.In addition to the types of intellectual property mentioned above,there are other intellectual property rights that can be appliedto smart medical devices and healthcare management solutions,such as patents for layout designs of integrate
292、d circuits,copyrights for training materials,etc.Specific protection strategies need to be formulated based on the companys businessmodel,technological innovations,and market needs.Prior to filing a patent or trademark application,we conduct thoroughpatent and trademark searches to ensure that the f
293、iled IPR does not infringe on the rights of others.In addition,timely filing andmaintenance of intellectual property rights is very important to prevent others from infringing on the companys technology andbrand,and to protect the companys interests and competitive advantage.Implications of Being an
294、 Emerging Growth Company Implications of Our Being an“Emerging Growth Company”On September 9,2022,the SEC adopted inflation adjustments mandated by the Jumpstart Our Business Startups Act of 2012(the“JOBS Act”).As a result,an“emerging growth company”will lose its emerging growth company status on th
295、e last day ofthe fiscal year in which it has$1.235 billion or more in total.As a company with less than$1.235 billion in revenue during ourlast fiscal year,we qualify as an“emerging growth company”as defined in the JOBS Act.“An“emerging growth company”may take advantage of reduced reporting requirem
296、ents that are otherwise applicable to larger public companies.In particular,asan emerging growth company,we:may present only two years of audited financial statements and only two years of relatedManagements Discussion and Analysis of Financial Condition and Results of Operations;are not required to
297、 provide a detailed narrative disclosure discussing our compensation principles,objectives and elements and analyzing how those elements fit with our principles and objectives,which is commonly referred to as“compensation discussion and analysis”;are not required to obtain an attestation and report
298、from our auditors on our managementsassessment of our internal control over financial reporting pursuant to the Sarbanes-Oxley Act of2002;are not required to obtain a non-binding advisory vote from our shareholders on executivecompensation or golden parachute arrangements(commonly referred to as the
299、“say-on-pay,”“say-on frequency”and“say-on-golden-parachute”votes);are exempt from certain executive compensation disclosure provisions requiring a pay-for-performance graph and CEO pay ratio disclosure;are eligible to claim longer phase-in periods for the adoption of new or revised financialaccounti
300、ng standards under 107 of the JOBS Act;andwill not be required to conduct an evaluation of our internal control over financial reporting untilour second annual report on Form 20-F following the effectiveness of our initial public offering.We intend to take advantage of all of these reduced reporting
301、 requirements and exemptions,including the longer phase-inperiods for the adoption of new or revised financial accounting standards under 107 of the JOBS Act.Our election to use thephase-in periods may make it difficult to compare our financial statements to those of non-emerging growth companies an
302、dother emerging growth companies that have opted out of the phase-in periods under 107 of the JOBS Act.18 Table of Contents Under the JOBS Act,we may take advantage of the above-described reduced reporting requirements and exemptions until weno longer meet the definition of an emerging growth compan
303、y.The JOBS Act provides that we would cease to be an“emerginggrowth company”at the end of the fiscal year in which the fifth anniversary of our initial sale of common equity pursuant to aregistration statement declared effective under the Securities Act of 1933,as amended(the“Securities Act”)occurre
304、d,if wehave more than$1.235 billion in annual revenue,have more than$700 million in market value of our Class A Ordinary Shareheld by non-affiliates,or issue more than$1 billion in principal amount of non-convertible debt over a three-year period.Foreign Private Issuer Status We are a foreign privat
305、e issuer within the meaning of the rules under the Securities Exchange Act of 1934,as amended(the“Exchange Act”).As such,we are exempt from certain provisions applicable to United States domestic public companies.Forexample:We are not required to provide as many Exchange Act reports,or as frequently
306、,as a domesticpublic company;For interim reporting,we are permitted to comply solely with our home country requirements,which are less rigorous than the rules that apply to domestic public companies;We are not required to provide the same level of disclosure on certain issues,such as executivecompen
307、sation;We are exempt from provisions of Regulation FD aimed at preventing issuers from makingselective disclosures of material information;We are not required to comply with the sections of the Exchange Act regulating the solicitation ofproxies,consents,or authorizations in respect of a security reg
308、istered under the Exchange Act;andWe are not required to comply with Section 16 of the Exchange Act requiring insiders to filepublic reports of their share ownership and trading activities and establishing insider liability forprofits realized from any“short-swing”trading transaction.Implications of
309、 Being a Controlled Company Controlled companies are exempt from the majority of independent director requirements.Controlled companies are subject toan exemption from Nasdaq standards requiring that the board of a listed company consist of a majority of independent directorswithin one year of the l
310、isting date.Public Companies that qualify as a“Controlled Company”with securities listed on the Nasdaq Stock Market(Nasdaq),mustcomply with the exchanges continued listing standards to maintain their listings.Nasdaq has adopted qualitative listingstandards.Companies that do not comply with these cor
311、porate governance requirements may lose their listing status.Under theNasdaq rules,a“controlled company”is a company with more than 50%of its voting power held by a single person,entity orgroup.Under Nasdaq rules,a controlled company is exempt from certain corporate governance requirements including
312、:The requirement that a majority of the board of directors consist of independent directors;The requirement that a listed company have a nominating and governance committee that iscomposed entirely of independent directors with a written charter addressing the committeespurpose and responsibilities;
313、The requirement that a listed company have a compensation committee that is composed entirelyof independent directors with a written charter addressing the committees purpose andresponsibilities;andThe requirement for an annual performance evaluation of the nominating and governancecommittee and com
314、pensation committee.Controlled companies must still comply with the exchanges other corporate governance standards.These include having anaudit committee and the special meetings of independent or non-management directors.Our Corporate Information Our registered office in the England is located at 3
315、2 BLACKFRIARS ROAD,LONDON,UNITED KINGDOM.19 Table of Contents THE OFFERING Issuer HONGXU SHANGZENG GLOBAL HOLDING LTD Securities Being Offered Ordinary Shares,par value US$0.0001 per share Offering Price We expect that the initial public offering price will be US$8.20 per Ordinary Share.Ordinary Sha
316、res OutstandingImmediately Before This Offering Ordinary Shares Ordinary Shares OutstandingImmediately After This Offering Ordinary Shares(or Ordinary Shares if the underwriters exercisetheir option to purchase additional Ordinary Shares in full).Voting Rights Each Ordinary Share is entitled to one
317、vote.Use of Proceeds.Product Development.Build upstream and downstream ecological chain.Intellectual Property Protection and Patent Maintenance.Online and offline media promotion.Talent Team Building.Market Expansion.Business Negotiation Proposed Nasdaq Trading Symboland Listing We plan to apply to
318、list our Ordinary Shares on the Nasdaq Capital Market underthe symbol“HXSZ”This offering is contingent upon us listing our Ordinary Shareson Nasdaq Capital Market or another national exchange.No assurance can be giventhat such listing will be approved or that a liquid trading market will develop for
319、our Ordinary Shares.Lock-up Our directors,executive officers,and shareholder who own 5%or more of theoutstanding Ordinary Shares intended agreed with the underwriters not to offer forsale,issue,sell,contract to sell,pledge or otherwise dispose of any of our OrdinaryShares or securities convertible i
320、nto Ordinary Shares for a period of 6 monthscommencing on the date of this prospectus.The Company is also prohibited fromconducting offerings during this period and from re-pricing or changing the termsof existing options and warrants.See“Underwriting”for additional information.Risk factors See“Risk
321、 Factors”for a discussion of risks you should carefully consider beforeinvesting in our Ordinary Shares.Transfer Agent Payment and settlement 20 Table of Contents RISK FACTORS An investment in our Ordinary Shares involves a high degree of risk.Before deciding whether to invest in our Ordinary Shares
322、,you should consider carefully the risks described below,together with all of the other information set forth in this prospectus,including the section titled“Managements Discussion and Analysis of Financial Condition and Results of Operations”and ourconsolidated financial statements and related note
323、s.If any of these risks actually occurs,our business,financial condition,results of operations or cash flow could be materially and adversely affected,which could cause the trading price of ourOrdinary Shares to decline,resulting in a loss of all or part of your investment.The risks described below
324、and in the documentsreferenced above are not the only ones that we face.Additional risks not presently known to us or that we currently deemimmaterial may also affect our business.You should only consider investing in our Ordinary Shares if you can bear the risk ofloss of your entire investment.Risk
325、s Related to Our Business We have grown rapidly in recent years and have limited experience operating at our current scale of operations.If weare unable to manage our growth effectively,our brand,company culture and financial results may suffer.We have grown rapidly in the past year and our recent g
326、rowth rates and financial results should not be considered indicators ofour future performance.In order to effectively manage and leverage our growth,we must continue to expand our sales andmarketing,focus on innovative product and website development,and upgrade our management information systems.O
327、urcontinued growth has in the past and may in the future strain our existing resources and we may experience ongoing operationaldifficulties in managing our operations in numerous jurisdictions,including difficulties in recruiting,training and managing adispersed and growing employee base.Failure to
328、 expand and maintain our company culture through growth may harm ourfuture success,including our ability to retain and recruit personnel and to effectively focus on and pursue our corporate goals.WHOLESALE-MEDICAL,DENTAL&HOSPITAL EQUIPMENT&SUPPLIES industry is evolving rapidly and may notevolve as w
329、e expect.Even if our net sales continue to grow,our net sales growth rate may decline in the future due to a varietyof factors,including macroeconomic factors,changes in supply and supply chain,changes in consumer preferences,increasedcompetition and the maturation of our business.Accordingly,you sh
330、ould not rely on our net sales growth rates for any priorperiod as an indicator of our future performance.Our overall growth in net sales will depend on many factors,including ourability to:1)price our products and services effectively so that we can attract new customers and expand our relationship
331、s with existingcustomers.2)accurately forecast our net sales and plan our operating expenses.3)compete successfully with other companies that are or may be entering our competitive market in the future and respond todevelopments in those competitors,such as pricing changes and the introduction of ne
332、w products and services.4)Complying with existing and new laws and regulations that apply to our business.5)Successfully expanding into existing markets and entering new markets,including new geographic areas and categories.6)The successful introduction of new products and enhancements to our produc
333、ts and services and their features,including inresponse to new trends or competitive dynamics or customer needs or preferences.7)Successfully identifying and acquiring or investing in businesses,products or technologies that we believe will complementor expand our business.8)Avoiding disruptions or interruptions in the distribution of our products and services.9)Providing quality support to our cu