Dear colleagues,
 
Happy New Year!

Looking back, I believe that the year 2019 was more memorable for us than other years. With dramatic changes in the external environment, the entire pharmaceutical industry was undergoing profound changes throughout the year, affecting everyone in the industry. Despite constant challenges, we still delivered good results! Riding the waves of transformation, Luye Life Sciences Group celebrated its 25th anniversary. We at Luye Life Sciences stayed true to our vision and mission, embraced the challenges, and accomplished a lot down the road of “innovation” and “internationalization”.

In 2019, Luye Pharma submitted the New Drug Applications (NDAs) for two new drugs to the U.S. Food and Drug Administration (FDA), marking a new breakthrough for the company in the international markets. The manufacturing facility for LY03004 passed the Pre-approval Inspection (PAI) by the FDA with no FDA-483, Inspectional Observation. Meanwhile, a number of pipeline products in the late clinical/NDA stage were about to bear fruit. To facilitate the launch of these new drugs, we were accelerating the effort to build a global supply chain system on the one hand, and integrating the business systems in more than 80 international markets on the other, aiming to improve drug accessibility for patients around the globe. In addition, we were also actively driving technological transformation and upgrading, addressing multiple frontier areas such as biological antibodies, cell therapy and gene therapy, as well as reinforcing and enriching our pipeline, to support the sustainable growth in the future.

In 2019, Luye Medical launched a series of initiatives centered around meeting patient needs and optimizing business models. Solid progress was being made in optimizing the existing business structure of Healthe Care in Australia and in leveraging Australia’s hospital resources to explore new opportunities for mental health service in China. With the release of the architectural scale model of the Shanghai Luye Lilan Hospital, our strategic collaboration with Cleveland Clinic entered a new stage. The completion of the world's first Cleveland Clinic Connected Project was one-step closer to us.

In 2019, our diagnostics business also reached encouraging milestones. The next generation of genotyping products received marketing authorization from the U.S. FDA and was approved for launch by the Singapore Health Sciences Authority (HSA). With the growth of the diagnostics business and the coordinated development of various businesses under Luye Investment, we were exploring the deep integration throughout the value chain of life sciences to create new values for the group.

In 2019, we were honored to receive a lot of recognition from the society and the industry. Healthe Care was again listed as one of the Best Companies to Work for in Australia. Luye Pharma also received the Healthiest Workplace for Employee Award and the Corporate Social Responsibility Award. And Luye Life Sciences Group was named the Pharmaceutical R&D Innovation Model Enterprise. Our 16,000 colleagues worldwide celebrated the group's 25th anniversary, reflected on our history, and envisioned a better future. Our global rebranding initiative achieved satisfactory results, and a new brand image will be helpful for the group’s business growth around the globe.

I would like to thank everyone at Luye Life Sciences Group for your hard work over the past year, and thank all our customers for your support and trust.

We can expect that, for us in the pharmaceutical and healthcare industries, which are highly sensitive to the industrial environment, we will face a bigger competition pressure in 2020. Some people say that 2020 may be the most difficult year for the pharmaceutical and healthcare industries. But I think that 2020 is a year full of hope. We have achieved the strategic goals set 10 years ago ahead of schedule and we are making every effort to move towards the mid-term goals for the next 5 years.

The year 2020 will be the beginning of a long and difficult journey. Our pharmaceutical business must work full steam ahead to drive the NDA and launch of multiple new drugs in major global pharmaceutical markets. Additionally, we must accelerate our transformation to achieve our next five-year strategic goal of becoming an innovative global pharmaceutical company with innovative drugs and novel drug delivery technologies.

In 2020, Luye Medical should continue to leverage the advantage of business integration, to consolidate and enhance our brand and influence as a leading private healthcare service provider in Asia Pacific, and to accelerate the effort to bring our leading mental health treatment solutions and patient service models in Australia to China. In addition, we should work hard to facilitate the construction of the Shanghai Luye Lilan Hospital, to enable patients to benefit from the high quality, innovative, "value-based and patient-centered" healthcare as soon as possible.

In 2020, we should continue to enhance the synergy between the tech side and the commercial side for our other businesses in life sciences, to focus on the development, incubation and commercialization of new technologies, new products and new business models in life sciences, and to make unremitting efforts to offer innovative integrated solutions.

Dear colleagues, the year 2020 will be a crucial year. Despite the formidable challenges, we will also have unbelievable opportunities. Whether in China or in other countries, we are still in a great era of vibrant health industry. In 2020, we must build up our confidence, adhere to our values, and stick to our global strategy, to meet our growth target for the year, and to provide better services for many more patients worldwide!

Let’s work together to make this coming year a greater success! The year 2020 will be a better year for us. There is no doubt about that!
And I wish every one of you growth, success and happiness in 2020!
Happy New Year again!