expanded strategic pipe lines: wanbang biopharma became a shareholder of yellow river pharma
according to the equity cooperation agreementsigned by and between jiangsu wanbang biochemical pharmaceuticals co., ltd - one of fosun pharma’s core holding companies (wanbang biopharma) and shanghai yellow river asset management co., ltd (yellow river asset) on may 18th in funing, jiangsu province, wanbang biopharma will become a majority shareholder of yellow river pharma by taking over the equity of jiangsu yellow river pharmaceutical co., ltd (yellow river pharma) held by yellow river asset at the price of app. rmb 51 million. in addition, a product distribution agreement was signed between wanbang biopharmaand yellow river pharma, stipulating that wanbang biopharma is responsible for the marketing of yellow river pharma’s products.
gu yunling,party secretary andnpc standing committee director of funing county, and li xianlin,chairman of shanghai fosun pharmaceutical development co., ltd attended and addressed the signing ceremony respectively. other participants included wu yifang,chairman of wanbang biopharma; zhang zhongquan,chairman of yellow river asset; zhang guanya,chairman of yellow river pharma; chen ping,cppcc chairman of funing county; wang qiang, deputy party secretary of the county; qiu xueshan,party secretary of npc standing committee of the county anddeputy director; and wang ning, deputy county magistrate andparty work committee secretary of the county development zone. both sides and the leaders attended the meeting are positive towards this strategic partnership, and areexpecting post-event synergistic effects and advantages on future development, believing it’s an opportunity to achieve a “second startup” for the company.
as one of the backbone enterprises infuning county, yellow river pharma started its take-off in 2000, after itestablished facilities and started operation within the same year in funing economic development zone. aftera decade of development, it has become a modern pharmaceutical company which integrates drug r&d, production and sales & marketing and has contributed more than rmb 100 million to the local tax revenue.
the pipe lines and therapeutic areas between wanbang biopharmaand yellow river pharma have synergistic and complementary effects. wanbang biopharma is able to expand its strategic pipe lines and further increase its strength in cardiovascular, endocrine and traditional chinese medicine through the cooperation with yellow river pharma. meanwhile, wanbang biopharma has abundant marketing resources,fairly strong sales force andmarketing capability which will help yellow river pharma increase its product’s market share and reachits sales targets. after signing the cooperation agreement, wanbang biopharma will also increase its investment in r&d in yellow river pharma, in order to improveproduct development and overallcompetitiveness of yellow river pharma.