Zhejiang Hisun Pharmaceutical Co., Ltd (SHA: 600267), a Chinese pharmaceutical company, has announced that Li Yan, its former director and president, is currently under investigation for alleged corruption, embezzlement, bribery, and receipt of bribes as a non-state employee during the company’s business operations from 2019 to 2022.
Li Yan, an economics graduate from Fudan University and an MBA holder from the Simon Graduate School of Business at the University of Rochester, has had an extensive career. He has served as the director of business development at Sigma-Aldrich (China), Cabot Chemical (China), vice president of FountainVest Partners, executive director and general manager of ICBC International RT Capital, and chairman and general manager of Jilin Boda Pharmaceutical Co., Ltd.
The investigation pertains to outlicensed sales/marketing activities related to Hanhui Pharmaceuticals Co., Ltd, previously known as Hisun Pfizer, a joint venture between Hisun and US pharmaceutical giant Pfizer. The probe is focused on Li Yan’s tenure at Hisun. Hillhouse Capital acquired all shares in the JV from Pfizer in 2017 and rebranded the company as Hanhui Pharma in June 2018. Subsequently, in 2021, Hisun acquired a 49% stake in Hanhui from Hillhouse for RMB 4.4 billion, making it a wholly-owned subsidiary.
According to Hisun’s financial report for 2023, the company recorded revenues of RMB 10.373 billion, a decrease of 13.82%, and a net loss of RMB 93.17 million. Hanhui Pharmaceuticals contributed revenues of RMB 4.093 billion and a net profit of RMB 38.04 million to the overall financials.- Flcube.com
