EuroEyes International Eye Clinic Limited (“EuroEyes” or the “Company”, stock code: 1846) held the ground-breaking ceremony of its new clinic in Chongqing today, marked as its 7th clinic in China. The Company enters Southwestern China officially, and will bring high-quality vision correction services to the mountain city. As told, EuroEyes Chongqing clinic is estimated to invests 30 to 40 million yuan. EuroEyes and its Chongqing partner will invest 60% and 30% respectively through joint ventures (10% by other institutional investors). Chongqing clinic is scheduled to open in the third quarter next year.
EuroEyes was established in 1993 and is one of Europe’s leading brands in the vision correction industry, headquartered in Hamburg, Germany. EuroEyes is operated by famous German doctor Dr. Jorn Slot Jorgensen, and was awarded with many Ophthalmology prize. EuroEyes has a far-reaching geographical coverage of 27 eye clinics and consultation centers in Germany, Denmark and the PRC. According to the report of BOCI, EuroEyes was awarded with World Champion – Most Trifocal Lens Implants, European Champion – Most ICL Implants and German Champion – Most ReLEx SMILE Procedures in 2018. EuroEyes is a market leader in advanced lens exchange surgery and refractive surgery (excluding PRK / LASEK) in Germany and Denmark. In 2018, EuroEyes’ market share in Germany and Denmark was 13.2% and 10.8% respectively.
According to statistics, there are approximately 1.4 billion people with myopia around the world, of which nearly half are in China. By 2020, China’s myopia population will reach approximately 700 million. At the same time, uncorrected presbyopia is common among middle-aged and elderly people, and the number of uncorrected presbyopia is around 371 million in the population aged over 40. In addition, the incidence of cataracts is about 80% in China’s population aged 60-89, and more than 90% aged over 90. With the increasing incidence of myopia and the aging trend in China, the gap in the demand for eye health-care and vision correction is widening.
In Europe, the market and technology in vison correction surgery is more mature, however, in China, the market is in the ascendant, and the penetration rate is comparatively low. According to Frost & Sullivan, the population ages 18-45 with myopia in Germany in 2018, 1,424 people per million received ReLEx SMILE surgery treatment, compared with only 669 people per million in China, or 1.1 times higher of receiving the medical treatment than in China; Elsewhere, the number of ICL operations in Germany is 4.3 times higher in comparison to China; the age 45 or above with presbyopia who accepted an ICL surgery in Germany is also 4.3 times higher than the number in China.
Since entering China in 2013, EuroEyes aims at providing world standard German technology and 100% German services to patients in China with myopia, hyperopia, presbyopia and cataracts, allowing them to enjoy a clear vision. According to Financial Report of EuroEyes, the revenue of China region in 2018 is approximately 94 million yuan, accounts for 28.2% of the overall revenue worldwide. From 2016 to 2018, the CAGR of revenue and gross profit in China region is 85.1% and 633.7% respectively
Benefiting from China’s huge customer market, as well as the Company’s established brand foundation and good reputation in the first tier cities, such as Beijing, Shanghai, Guangzhou and Shenzhen, it is perfect time for EuroEyes to further develop into the fast-growing super second tier and second tier cities in China. EuroEyes plans to strategically expand the layout in the second tier cities of China and accelerate its growth at the pace of opening 1-2 clinics every year.
Dr. Jorn Slot Jorgensen, the Founder, Chairman of the board and CEO of EuroEyes said that Chongqing is a major Southwestern city with the largest population in China. EuroEyes is privileged to work with local partners in Chongqing to establish its first flagship clinic in the Southwest China.
Ms. Chen Lixuan, the Chinese partner of EuroEyes Chongqing Clinic, said that her cooperation with EuroEyes was due to her mother’s receiving a trifocal lens exchange surgery at EuroEyes Shanghai Clinic in 2017, experiencing the professional service and amazing postoperative results as a genuine patient. And leveraging the rich capital and network resources accumulated from her business in service and real estate industry, Ms. Chen introduced this high-quality German brand to her hometown, benefiting more people in Chongqing.
EuroEyes Chongqing Clinic will be the first flagship clinic after the successful IPO in Hong Kong. It represents EuroEyes’ strategic determination to take root in China and it also shows EuroEyes’ confidence in its further development in the market of Southwestern China. Along with the construction of Chongqing Clinic, EuroEyes will provide high-qualified glassless surgery for the patients around “Two Rivers and Four Banks” in Chongqing with the unique advantage of “German doctor and German quality”, and strive to improve the eye health-care level and life quality of residents in Southwest.
