Dear Financial Secretary Paul, Clara, distinguished guests, colleagues, friends, good morning.
First, I want to extend the warmest welcome to all of you. It’s an honor to be here today at the Hong Kong Investment Corporation and New Frontier Strategic Partnership Ceremony.
We are deeply grateful to the HKSAR government and HKIC for their support and trust in this partnership. As a company born in Hong Kong, New Frontier is proud to provide high-quality and comprehensive healthcare services to the people of Hong Kong, the GBA, and across the nation. At the same time, through our work in healthcare and life science innovation, we take pride in contributing to Hong Kong’s development as a world-class healthcare innovation center.
Today’s gathering is special. We are here to witness not only the launch of our strategic partnership, but also an occasion to bring together the leading minds globally in clinical practice, administration, research, technology, investment, and policy making to the inaugural New Frontier Global Health Summit, to discuss some of the most pressing challenges and opportunities in healthcare in China and globally.
China is at a pivotal moment in its demographic shift. Population aged 60 and above is expected to reach ~500 million by 2050. That growth alone is larger than all the OECD countries combined. By 2050, 40% of China’s population will be over 60. We are witnessing the fastest and largest aging transition in human history. It will define China’s development for decades to come.
This shift will bring challenges and opportunities across all aspects of healthcare, as health spending for people over 60 is almost 10 times higher than for younger populations.
This adds to an already heavy disease burden. 10 years ago, China had around 250 million hypertension patients. Today, that number is 300 million. Diabetic patients have grown to 140 million. Stroke has become a serious health issue. New cancer incidence exceeded 5 million, almost 3 times that of the US. All these numbers are already the highest globally, and rapidly increasing as our population continues to age. On the other hand, China is making huge progress in innovation and technology. Today, the five-year survival rates for lung, colorectal, and esophageal (uh·so·fuh·jee·uhl) cancer have surpassed those in the U.S, thanks to many of the clinicians and scientists who are here today.
So, how do we prepare for this?
Over the last two decades, significant progress has been made in expanding the scale, quality, and reimbursement of healthcare in China. We now have ~7 hospital beds per 1,000 people—more than twice the global average. Despite this, our hospitals remain congested and access is still a challenge. There is a tremendous opportunity to enhance the system by investing in non-acute care, such as primary care, rehabilitation, and home health. Currently, almost 80% of health spending in China happens in hospitals, predominantly in tertiary acute care facilities. In contrast, non-acute care services account for only 20%. Such a shift could also lead to better health outcomes, reduced costs and congestion in tertiary acute facilities.
This is the vision New Frontier has been working toward since our founding in 2016. We have set out on a mission not just to create a great hospital, but a multi-layered system that is continuous and integrated, more cost effective, connects provision and payment, fosters innovation and ultimately, creates better patient experience and outcome.
At the core of our system are our 11 comprehensive, international accredited hospitals, as well as our nationwide outpatient network, operating under the brands of United Family, Heal, and HKIOC. These world-class facilities allow us to perform complex surgeries, introduce innovative drugs and therapies, and support innovation and research.
As we developed this network, we have also built specialty hospitals and centres surrounding our general hospitals, including those specialized in oncology, women’s and children’s health, orthopedics, and cardiology, with many more to come. We call this the “1+X model.” As our hospitals and centers evolved, so did our primary care network, which includes:
- Outpatient clinics serve as a triage system.
- Virtual care brings healthcare to patients 24×7, anywhere.
- Onsite corporate clinics.
- International medical services provide patients joint treatment options by us and our global partners.
Together, these components extend the reach and efficiency of our healthcare system.
With our Care Alliance and YD Care platforms, we have built China’s leading rehabilitation hospital system and home health networks with now 22 rehab hospitals and home care services in 43 cities.
We also launched Better and Prosper for health insurance solutions, and NF Nova to accelerate research “From Lab to Clinic” — bringing innovative therapies to patients faster.
Why rehab and home health? Because rehab services cost almost 75% less per episode of care compared to acute hospitals. They are also highly effective: 90% of stroke patients regain mobility after rehab, compared to just 6% without it.
Our rehabilitation system includes 10 specialized departments, ensuring expertise, tailored care for every patient.
A few months ago, Ailibi China released its ranking of the top 30 private rehab hospitals: eight of our hospitals made the list.
Taking care to home is New Frontier’s core solution to addressing aging population in China. We have imagined a world of healthcare beyond the four walls. Home care reduces hospital readmissions by 60%. Based on a Fudan University study, every RMB1 invest in home health leads to RMB8.6 saving in total healthcare costs. New Frontier serves nearly 100,000 elderly patients at home at any given time—far bigger leverage compared to traditional hospital inpatient service.
Providing home care requires a careful, well-designed system. Our services cover a full range of acute and non-acute care, primary care, chronic disease management and medical concierge. We are also building technology infrastructure—digital links with hospitals and clinics, integrated payment systems, smart wearables and IOT devices.
In 2024, our rehab and home health segments helped save over 25 million inpatient days in acute hospitals in China—equivalent to RMB 4 billion per annum in savings in healthcare expenditure. We have trained more than 15,000 unskilled workers to become home health providers, resulting in 50-100% increase in their income and redirecting underutilized human capital to addressing some of the most pressing challenges in healthcare.
A strong healthcare system also requires deep partnership and innovation with the payer system. We have created Prosper Health, our health insurance solutions provider, which has been working alongside our insurance and provider partners. Through Prosper, we:
- Expand our medical network to include direct billing partnership with 3,000 of China’s top hospitals and 1.5 million globally.
- Matche all our members with dedicated primary care teams, giving our patients 24×7 access as part of their insurance plans. Our primary care service is fully integrated with AI which Kevin and Prince from the Prosper team will demonstrate this afternoon
- Use AI in claims processing, resulting in more than 90% reduction in cost and handling time, and significant improvement in accuracy.
- Integrate medical records including all external hospitals, allowing our members and their care team access to all health records, enabling better management and follow-up, all in our app.
Technology is transforming the way care is delivered. We are leveraging AI to assist doctors and nurses from preparation to follow ups. Our AI triage system ensures timely and efficient treatments, coordinating care with an integrated care team beyond just one single doctor or specialist. We are integrating smart technology into home health to provide seamless remote monitoring for chronic disease management. Our commitment to AI and technology will define our group’s strategy in the years to come.
The Greater Bay Area, home of 86 million people, is a global economic, innovation and logistics powerhouse. It leads in per capita GDP in China and attracts majority of China’s foreign investment. It is also home to 5 of the world’s top 100 universities, all of them are here in Hong Kong. The integration of Hong Kong and Mainland China presents a once in a lifetime opportunity to pioneer cross-border healthcare innovation.
Mainland China has a vast, rapidly aging population, while Hong Kong has a significant base of international patients with commercial insurance coverage. Mainland hospitals have access to affordable drugs and therapeutics, while Hong Kong is at the cutting edge of global medical innovation. Mainland doctors handle a huge volume of complex surgeries, and Hong Kong offers world-class medical training and research. When I visited Prof. He Jianxing’s hospital, where I saw seven lung transplants being performed simultaneously—a testament to the globally leading expertise in Mainland China. Additionally, the sheer scale of the Mainland market enables substantial investment in R&D and infrastructure, while Hong Kong’s provide global gateway for these advancements.
To harness these opportunities, New Frontier has built an integrated healthcare system across the GBA, including two comprehensive hospitals in Guangzhou and Shenzhen, four oncology centers, and two specialist centers in Hong Kong. With the support of HKIC, we are expanding our translational medicine capabilities to bridge the gap between research and clinical application.
We are committed to working alongside scientists and researchers to bring innovation from labs to clinics. By leveraging our patient base, our clinical trial services, and our global network, we provide end-to-end support from product innovation, translation, to commercialization. This afternoon, we will hear from Prof. Guo Yi about his groundbreaking work in advanced brain diagnostics and clinical models for conditions like Alzheimer’s and depression. We are thrilled to announce that we will partner with Prof. Guo to bring his innovations from research to market. We will support translation, facilitate licensing and registration, and drive go to market and distribution to ensure these technologies reach patients who need them most. This technology will also anchor the launch of the United Family Brain Centre.
Ladies and gentlemen, this is the future of healthcare we envision. A lung cancer patient will undergo robotic surgery with AI assistance, be discharged swiftly, and receive seamless rehabilitation care at home. His medical data will be monitored and followed up by the care team remotely. Primary care will be fully integrated into mobile devices and health insurance plans, supported by care teams with AI assistants offering 24/7 support and access to full medical history. Drug development will leverage both in clinic and real-world data from our home-based monitoring. All health records—from wearables, home sensors, hospitals, and clinics—will be put in the hands of our patients, securely shared with healthcare teams to provide tailored care while ensuring privacy. This vision is becoming a reality, and we are committed to making it happen.
Of course, none of this would be possible without the dedication and support of our partners and colleagues. Your passion, innovation, and relentless commitment drive our mission forward every day.
Today, with the support of HKIC, we are proud to launch the Global Health Summit—a platform dedicated to addressing some of the most pressing challenges in healthcare. This summit is more than an event; it is a platform to bring together diverse voices and expertise to tackle issues like improvement of healthcare system and delivery model, advancement of AI and technology, innovation in treatments and therapeutics. By uniting policymakers, healthcare providers, scientists, payors, and entrepreneurs, we aim to create an open platform to foster collaboration and partnerships, break down silos to advance equity, innovation, and sustainability in global health. Together, we can shape a healthier future for all. This is our first annual event, we are inexperienced, and we appreciate your patience and support.
Finally, we embark on this journey because we firmly believe that healthcare is, at its core, about making a positive impact in people’s lives. It is a reflection of our shared humanity and our commitment to creating a healthier, more equitable world. As we move forward, our guiding principle remains steadfast: Do good and do well, with love. Let this inspire our discussions today and guide the impactful work we strive to achieve together. Thank you all for being part of this journey.
香港投资管理有限公司2月12日在香港会议展览中心宣布战略投资新风天域集团，双方签署协议，将合力加速推动跨地域医疗科研及临床应用的协作，更好地发挥香港在前沿的医疗科研、专业的医疗体系及高效的国际联系等强大优势，并联动粤港澳大湾区的人才和市场等庞大资源，携手推动香港作为国际医疗创新中心的加速发展。
The Hong Kong Medical Association (“HKMA”) today signed a Memorandum of Understanding (“MoU”) on cooperation with the United Family Healthcare (“UFH”) to establish a “Pilot Programme for Medical Talent Training and Exchange between Hong Kong and the Mainland”. This allows Hong Kong medical students to train at mainland hospitals while also launching CME courses for doctors in both regions to participate, broadening talent exchange reach.
May 23, 2024, New Frontier Group (hereinafter referred to as “New Frontier”) announced that it had completed the acquisition of Hong Kong Integrated Oncology Center (hereinafter referred to as “HKIOC”), a leading comprehensive private oncology medical platform.
Carl Wu’s commencement speech at the University of Hong Kong Faculty of Medicine graduation ceremony