TikTok parent company ByteDance's healthcare unit in China, Xiaohe Health, has acquired a high-end private hospital chain called Amcare Healthcare in a deal worth 1.5 billion, according to a report from Bloomberg. A spokesman for Xiaohe Health confirmed the acquisition.
Tech companies are making their first steps into the booming trillion-dollar healthcare sector, and this is the latest in a series of acquisitions. Amazon acquired One Medical, a primary health care provider, for $3.9 billion in cash last month. Apple continues its expansion into the healthcare space with its health app that stores medical records if a patient visits a healthcare provider that supports the system.
Amcare Healthcare, founded in 2006 in Beijing, China, provides medical services like maternity care, women's health and pediatrics. The company also operates Amcare Women's Children's Hospital, which is the main brand of Amcare Healthcare in China.
Xiaohe Medical is an Internet hospital acquired in December 2020 by ByteDance to expand China's online health sector. The terms of the transaction were not disclosed.
After stepping down as chairman in November 2021, we wrote about ByteDance founder, Zhang Yiming. In 2012, Zhang founded the company.
ByteDance is the developer of the video-sharing social networking services and apps TikTok and Douyin, the Chinese-specific counterpart to TikTok. The company owns a series of content platforms that allow people to connect with consuming and creating content through machine learning technology.
The company has more than 200 million daily active users that spend an hour every day on its products. Bytedance also operates a series of products popular with mobile users around the world, including Topbuzz, Flipagram, and a number of UGC short-form video apps.