Winner Medical Expands Internationally, Acquires GRI to Build a Resilient Global Supply Chain

On the afternoon of September 23, Winner Medical Co., Ltd. (hereafter referred to as “Winner Medical”) announced that it has acquired 75.2% equity of Global Resources International, Inc. (hereafter referred to as “GRI”) in a cash deal valued at approximately USD 120 million. This is Winner Medical’s first international equity acquisition project and marks an important step in its global strategy, serving as a milestone. The two parties will create significant scale and synergy effects, establishing a new benchmark for “one-stop solution for global medical consumables,” enhancing international core competitiveness, and improving supply chain capabilities and resilience. Furthermore, this acquisition will strengthen global production and logistics, expand product lines, enhance research and development innovation, and establish operational structures in the United States and Europe.

GRI Company Overview

According to the announcement, GRI was founded in 2000 and is a global medical consumables and industrial protective equipment company headquartered in Georgia, the U.S.. Its products include surgical kits, drapes, sheets, containers, surgical gowns, and industrial protective clothing. GRI has multiple production facilities worldwide, including in China, the U.S., Vietnam, and the Dominican Republic, with a total production area of over 80,000 square meters and total warehouse space of over 70,000 square meters. GRI has sales and logistics networks in both the U.S. and Europe. In 2023, GRI's revenue exceeded USD 150 million, with its main business spread across the U.S., Europe, and Asia.

Anchored Domestically and Internationally: Synergies from Local Operations and Global Collaboration

It is understood that this acquisition aligns with Winner Medical’s strategy to create a one-stop solution for global medical consumables. The two parties can form a large-scale synergy in global markets, research and development, production, and product advantages. GRI has mature medical consumables and industrial protective product production and logistics bases in the U.S., Vietnam, and the Dominican Republic, directly filling gaps in overseas production capacity. These will complement Winner Medical’s existing eight production bases in China. The Vietnam and Dominican Republic factories can fully leverage labor cost advantages. At the same time, Winner Medical can adapt to local market trends in the U.S. and Europe by being rooted in overseas production facilities. Winner Medical will also bring its intelligent manufacturing capabilities and digital systems to co-create sustainable new production capabilities, comprehensively improving its ability to flexibly respond to opportunities and challenges in global export markets.

Expanding the Global Market with New Materials and Product Lines, Achieving a Win-Win Situation for Supply and Demand

GRI possesses globally leading technologies and innovations, such as the research, production, and processing capabilities for a water-soluble, degradable protective material. Winner Medical has over 30 years of independent research and development experience and holds multiple patents. Building on this, the two parties will delve deeper into material science, developing world-leading new materials to provide higher-quality products and better solutions for both domestic and international customers. This will broaden the application of innovative base materials, composite materials, and functional materials in the medical and other fields. Additionally, GRI’s consumable injection-molded products will expand the company's medical consumables offerings, meeting the diversified needs of global customers and achieving a win-win for both suppliers and consumers.

Excellence in International Operations: Significant Improvement in Comprehensive Competitiveness

The U.S. is one of the largest medical consumables markets globally. This acquisition enables Winner Medical to establish a complete localized operational system and management team in the U.S., covering key functions such as R&D, production, sales, logistics, and services. GRI’s founding management team has over 30 years of experience in the U.S. market, with extensive industry and management expertise in medical consumables. Winner Medical will incorporate its philosophy of “product leadership and operational excellence” into the local team to better serve global customers, including those in operating rooms and hospital wards. The acquisition also allows Winner Medical to bring cutting-edge technologies and concepts from abroad into China, significantly enhancing the company’s global competitiveness.

Market Prospects and Strategic Layout

Despite the global macroeconomic slowdown, the global supply chain remains resilient and is undergoing restructuring, including in the medical field. As hospital infection control levels improve, innovative technologies and management concepts are gradually spreading. The Chinese medical consumables industry has great potential for catching up with and surpassing international leaders, with broad prospects for development.

Currently, Winner Medical is actively building a one-stop global solution for medical consumables, strengthening overseas production capacity, sales channels, and localized operational capabilities. This is a crucial step in the company's global strategy. Winner Medical is gradually building an organizational structure and operational model that supports external growth, contributing to its global industrial and supply chain development. This will also provide strong support for the company’s global business expansion and market opportunities.

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