Kingworld Medicines Moves to Secure Exclusive Distribution Rights for Two Lingnan Formula Products

HONG KONG, June 12, 2026 – Kingworld Medicines Group Limited, the Hong Kong-listed pharmaceutical and healthcare products distributor, has moved to expand its healthcare product portfolio by pursuing exclusive distribution rights for two proprietary Chinese medicine products developed from Lingnan clinical practice.

The company announced that Morning Gold Medicine Company Limited, a related Group company, has entered into memoranda of understanding with Dongguan City Chinese Medicine Hospital of Guangzhou University of Chinese Medicine for research and development cooperation on “Zizhu Leaf Cleansing Solution” and “Modified Gastrodia Brain-Health Formula”.

At the same time, Morning Gold has entered into separate memoranda of understanding with Kingworld Medicines, under which it intends to appoint the Group as the sole and exclusive distributor of the two products across Hong Kong, Mainland China and cross-border e-commerce channels.

The proposed arrangement will cover all major sales channels, including retail, hospitals and online platforms. Distribution is expected to begin first in Hong Kong and cross-border channels, followed by expansion into Mainland China after national drug registration approval is obtained.

The move reflects Kingworld Medicines’ broader strategy to strengthen its position in the Chinese medicine and healthcare market by sourcing products at an earlier stage of development and using its established distribution network to commercialise clinically validated formulations.

Lingnan Formulas Move Towards Wider Commercialisation

The two products are based on formulations developed through clinical practice at Dongguan City Chinese Medicine Hospital. “Zizhu Leaf Cleansing Solution” is a Lingnan formula that has been used within the hospital, where clinical observation data and application experience have been accumulated over time. According to the company, the product has been applied in cases involving skin burns, diabetic foot ulcers and pressure sores.

The second product, “Modified Gastrodia Brain-Health Formula”, was developed with reference to Gastrodia Brain-Health Granules currently used within Dongguan City Chinese Medicine Hospital. It is associated with symptoms linked to upward disturbance of wind-phlegm, including dizziness, headache, memory impairment and insomnia.

In the initial phase, each product is expected to be registered in Hong Kong as an HKC category proprietary Chinese medicine by a subsidiary of Morning Gold. Once approvals are secured, Morning Gold will organise production and work with Dongguan City Chinese Medicine Hospital on commercialisation.

Morning Gold has wholly owned proprietary Chinese medicine manufacturing enterprises in both Shenzhen and Hong Kong that comply with GMP standards, providing the production foundation for the planned commercial rollout.

Under the proposed distribution arrangement, Kingworld Medicines will be responsible for overall marketing, distribution network development and sales. Morning Gold will oversee compliant production, stable supply and the provision of necessary product documentation and support.

The agreement also states that Morning Gold will not appoint any third-party distributors for the products within the agreed scope during the term of the distribution memoranda and definitive agreements.

Kingworld Extends Upstream in Healthcare Value Chain

For Kingworld Medicines, the proposed collaboration marks a shift from a traditional distribution-led model towards deeper involvement in product origination, development and commercialisation. Mr Zhao Lisheng, Chairman of Kingworld Medicines, said the collaboration represents a significant step in the Group’s strategic positioning within the healthcare sector.

“This collaboration marks a significant breakthrough in the Group’s strategic positioning within the healthcare sector, from our traditional role as a sole agent and distributor to proactively sourcing high-quality products at their origin,” Zhao said.

He added that the products were developed from years of clinical practice at Dongguan City Chinese Medicine Hospital, providing a foundation for market adoption. “The Products are developed from years of clinical practice at Dongguan City Chinese Medicine Hospital, with proven efficacy and well-established applications, providing a solid foundation for market adoption,” he said.

Zhao said the exclusive distribution rights across Hong Kong, Mainland China and cross-border e-commerce channels would enrich the Group’s healthcare product portfolio and create synergies with Kingworld’s existing distribution network.

“This not only directly enriches our healthcare product portfolio but also creates strong synergies with our existing distribution network and channel resources, fully leveraging the channel capabilities and market influence we have built over three decades in the healthcare industry,” he said.

Kingworld Medicines has been operating in the pharmaceutical and healthcare industry for more than 30 years. Its business footprint covers 34 provinces and municipalities across China, and it has built a full-channel integrated healthcare service system.

Through Shenzhen Kingworld Medicines, the Group is engaged in agency distribution of branded imported pharmaceutical and healthcare products in China. Its portfolio includes well-known healthcare brands such as Nin Jiom Pei Pa Koa, Seirogan and Kingworld Imada Red Flower Oil.

Greater Bay Area Healthcare Innovation Gains Momentum

The collaboration also highlights the growing commercialisation potential of traditional Chinese medicine innovation in the Guangdong-Hong Kong-Macao Greater Bay Area. Dongguan City Chinese Medicine Hospital, founded in 1965, is a Grade 3A modern Chinese medicine hospital integrating medical services, teaching, research, rehabilitation and preventive healthcare. It has established two national key specialties, four national advantageous specialties in Chinese medicine and several provincial and municipal key specialties.

The hospital has also developed high-level clinical medical centres, including the China Chest Pain Center, the National Advanced Stroke Center and the Guangdong Provincial Grade III Trauma Center.

In addition, it has established the Dongguan Traditional Chinese Medicine Center, the Dongguan Orthopedics and Traumatology Research Center and the Guangdong-Hong Kong-Macao Greater Bay Area Chinese Medicine Engineering Technology Research Institute.

Zhao said Dongguan City Chinese Medicine Hospital’s research capabilities and Morning Gold’s manufacturing platform create a model that Kingworld Medicines could build upon in future. “Leveraging this collaboration as a model, we will continue to extend upstream to source high-quality products with strong clinical validation, introducing more effective and widely recognised healthcare products,” he said.

He added that the Group will accelerate its omni-channel commercialisation strategy to support sustainable business growth. For Hong Kong and Mainland China’s healthcare markets, the proposed distribution arrangement points to a wider trend in which traditional Chinese medicine products with clinical practice backgrounds are being prepared for broader commercial rollout through regulated registration, GMP-compliant manufacturing, hospital-linked validation and cross-border e-commerce channels.

As demand for trusted healthcare products rises across China and the Greater Bay Area, Kingworld Medicines’ move suggests that proprietary Chinese medicine could become a more structured and commercially scalable segment within Asia’s healthcare economy.