China-based Huadong Medicine Co., Ltd (SHE: 000963) announced that its subsidiary, Hangzhou Zhongmei Huadong Pharmaceutical Co., Ltd, is set to acquire a 60% stake in compatriot firm Wuhu Huaren Science and Technology Co., Ltd. The deal involves a consideration of RMB 396 million (USD 58.7 million), consisting of RMB 180 million (USD 27 million) in investment capital increase and a RMB 216 million (USD 32 million) equity transfer payment. This transaction will make Huadong Medicine the controlling shareholder of Huaren.
About Huaren Science and Technology
Wuhu Huaren Science and Technology Co., Ltd, founded in 2006, is focused on the development and manufacturing of new antiviral and anti-tumor drug intermediates, nucleoside, nucleotides, and their derivatives. Its business scope covers new drug research and development and production, biosynthesis, PCR amplification, gene sequencing, diagnostic reagent production, medical testing, and life science research, among other fields. The company is well-equipped and plans to invest in nucleic acid drug raw materials, biological reagent raw materials, and functional materials programs moving forward.
Huadong Medicine’s Strategic Move
Huadong Medicine expects to enhance its business presence in the nucleic acid drugs market through this acquisition, leveraging Huaren’s capabilities and expertise in the relevant fields.-Fineline Info & Tech
