News Details

Ho Wah Genting Berhad (KLSE:9601) ventures into healthcare industry and exploring into biotech investment opportunities in USA

  2020-08-07 16:29:26

Ho Wah Genting Berhad (KLSE:9601) has recently proposed diversification of its existing businesses to include healthcare-related businesses such as biotechnology, health supplement and healthcare technology sub-segment.
“The global healthcare market reached a value of nearly $8,452 billion in 2018, having grown at a compound annual growth rate (CAGR) of 7.3% since 2014, and is expected to grow at a CAGR of 8.9% to nearly $11,908.9 billion by 2022 [1]. Besides, prospects in the healthcare-related business are positive due to the favourable outlook on the healthcare industry in Malaysia. The Malaysian healthcare industry in terms of expenditures in 2019 is estimated at RM63.94 billion and is projected to grow at a compound annual growth rate (“CAGR”) of 7.5% to RM91.40 billion in 2024.[2]”
As the COVID-19 continues, demand for healthcare products and services related to COVID-19 pandemic are expected to drive the growth of the healthcare industry for the short and medium term (2020-2022).
The above insights gave birth to the group's portfolio which comprises of its premium healthcare businesses as follows:



HWGB BioTech aims to provide a comprehensive range of big health products and solutions that adopts a preventive measure readily available to improve the livelihood of Malaysians.
 
Currently, there are two main products under its biotech businesses, namely the Lionrun Shanghai Liangrun antibody IgM/IgG Covid-19 diagnostic test kit and the newly-launched D’VIRIA Nano CD disinfectant.
 
In May this year, HWGB BioTech has been appointed as the authorised distributor of antibody IgM/IgG Covid-19 diagnostic kit in Malaysia by Shanghai Liangrun Biomedicine Technology Co Ltd. The company had also submitted an application to the Ministry of Health for the certification of the diagnostic kit and is currently pending approval. Further, HWGB BioTech had on May 15 appointed PM Care Sdn Bhd as the non-exclusive sub-distributor for the distribution of the diagnostic kit.
 
Shanghai Liangrun is one of the high-tech biological companies focusing on tumor and infectious disease diagnostics in China. While PM Care is the pioneer and leading third-party administrator (TPA) in Malaysia in collaboration with a network of more than 3,500 medical providers nationwide. PM Care is a 90.0% owned subsidiary of Sumitomo Corporation, Japan (TYO:8053).
 
The Lionrun Shanghai Liangrun antibody IgM/IgG Covid-19 diagnostic test kit is a CE and FDA-certified product with high sensitivity and specificity of up to 90% which delivers fast result in 10 minutes. The Covid-19 IgG/IgM is a rapid test intended for the presumptive qualitative detection of IgM/IgG antibodies from the Severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2) in blood samples from individuals with signs and symptoms of infection who are suspected of Covid-19. It provides early discovery - positive IgM indicate early phase of infection, and safety - individual test avoid cross-infection.       
 
Besides the rapid test kit, the group is now also focusing on its newly-launched TwinOxide® product which carries the brand name of “D’VIRIA - disinfectant against virus & bacteria”. Dviria Nano Tech Sdn Bhd has recently been appointed as the exclusive distributor of Twin Oxide Southeast Asia Sdn Bhd (“Twin Oxide”) for the distribution of its TwinOxide® products in Malaysia and Indonesia retail segment.
 
The principal activities of Dviria is to carry on in the business in sanitising and disinfecting machines, equipment, apparatus including the sanitising, disinfecting agents, raw materials, products and parts.
 
“Here at Dviria Nano Tech Sdn Bhd, we are proud to be in an exclusive partnership with Twin Oxide Southeast Asia Sdn Bhd to bring you an exciting new benchmark on disinfection processes.
 
D’VIRIA Nano CD disinfectant is a revolutionary, advanced delivery system to generate a highly pure aqueous chlorine dioxide solution that does not contain any chlorine compounds and has removed all known drawbacks, side-effects and by-products known from chlorine dioxide. It is a patented formula from the Netherlands and also NSF International USA, OMRI listed and Halal certified. Tested non-toxic, non-corrosive, non-irritating to skin, non-carcinogenic or non-harmful to the environment, D’VIRIA Nano CD disinfectant has the fastest kill time (in seconds) with minimum quantity compared to other disinfectants in the market which takes minutes or hours. 
 
“Chlorine dioxide (CD) is the active ingredient of D’VIRIA Nano CD disinfectant. What makes us unique is it does not generate bi-products unlike the traditional chlorine dioxide as we know it.”
 
As for its health supplement segment, HWGB had in February 2020 appointed Guardion (Nasdaq: GHSI) to design and manufacture an exclusive custom immune support nutraceutical formula (nutraceutical product may be defined as a substance, which has physiological benefit or provides protection against chronic disease). Guardion (Nasdaq: GHSI) will adopt the exclusive custom immune support nutraceutical formula in the development of daily dietary supplement that is designed to strengthen the immune system and provide both anti-inflammatory and antioxidant benefits to the users. It also benefits the respiratory system.
 
Guardion (Nasdaq: GHSI) is a company listed on the Nasdaq stock market and principally involved in health sciences business such as development, formulation and distribution of consumable medical products. It is a reputable medical company backed by a globally respected Scientific and Medical Advisory Board.
 
Astramern Sdn Bhd was then incorporated in March this year to engage in the business of trading and sales of nutraceutical products, dietary supplements and functional food.
 
Earlier, HWGB Biotech division engaged Jeffrey Qiong Li, the principal lawyer of Foster Garvey PC to help exploring business opportunities in the US healthcare industry. Besides, its chief consultant committee is also venturing into biotech investment in the US. The company’s chief consultant committee is composed of experts in the field of health technology, medical, sales and marketing strategies, and healthcare related laws and regulations.
 
 
For more information about HWGB Biotech and our healthcare businesses, please visit https://hwgbbiotech.com/. Please also feel free to subscribe to our newsletter online to get latest exciting developments of our new ventures! Click on http://subscription.hwgbbiotech.com to subscribe.
 
 
References:
Circular to shareholders in relation to the proposed diversification of the existing businesses of HWGB and its subsidiaries to include the healthcare related business: https://www.bursamalaysia.com/market_information/announcements/company_announcement/announcement_details?ann_id=3058400
Bursa announcement on signing with Twin Oxide:
 
Media contact:
mediarelations@hwgbbiotech.com