Japan-based Sumitomo Pharma (TYO: 4506), through its China unit, is planning a significant investment of USD 30 million in the China market, as reported by Shine. This investment, as stated by Yoshitaka Koketsu, president and CEO of Sumitomo Pharma (China) Co., Ltd, is aimed at developing and launching new products that align with China’s medical needs.
Seeking Investment Targets in China
The investment strategy will involve identifying suitable targets within China. Koketsu expressed optimism about future business opportunities in China, stating, “We believe there will be more and more business opportunities in China in the future and hope to expand our market through the establishment of our investment company.”
Recent Deal-Making Focused on the China Market
Sumitomo Pharma has recently engaged in several deals focused on the China market. These include an agreement with Kyorin Pharmaceutical Co., Ltd for the rights to the overactive bladder drug vibegron, and a partnership with Sinovant Sciences HK Ltd for three pipeline drugs, including the antibiotic Xenleta (lefamulin).
Shanghai’s Post-COVID Investment Surge
The investment by Sumitomo Pharma comes amidst a broader trend of foreign investment in China following the COVID-19 pandemic. The reopening of Shanghai has seen 77 new foreign investment projects across all industries, with a total value exceeding USD 10 billion, as detailed by the source.-Fineline Info & Tech
