(CBN - Global) May 5 -- Chinese billionaire Mr. Liu Yonghao, chairman of New Hope Group Co., China's largest privately-held agricultural company, and Sequoia Capital Operations Llc., a leading American venture capital firm, have been found to be backers of Putian-affiliated hospitals.
Businessmen from Putian city, Fujian province control over 80 percent of private hospitals in China. Through widespread advertising on search engines such as Baidu, they often mislead the public with exaggerated claims of their efficacy of their cures.
Mr. Liu and family are major shareholders in Hua Xia Healthcare Holdings Ltd. [HKG:8143], an investment holding company engaged in the provision of general hospital services and pharmaceutical drug distribution. This company is operated by Putian businessmen and valued at HKD900 million (USD116 million).
Sequoia Capital China has been found to be a major shareholder of Angel Group (China) Holding Co., a Chengdu-based medical organization specializing in post-natal services, also controlled by Putian businessmen.
Sequoia Capital China has invested in a number of Chinese healthcare companies, including Betta Pharmaceuticals Co., Peking University International Hospital's Rehabilitation Medicine Department, Hanxi Putai Hospital Investment Management Co., Jafron Biomedical Co., Shenzhen New Industries Biomedical Engineering Co., and Eddingpharm (China) Co.
Parent company Sequoia Capital Operations has invested in world famous corporations such as Apple Corp., Yahoo Inc. and Google Inc. with a combined market cap of over 10 percent of the total value of the NASDAQ stock market.