Jointown Pharma to establish Wuhan logistics center, industrial park
Shanghai. April 27. INTERFAX-CHINA - Jointown Pharmaceutical Co. Ltd. (Jointown Pharma), a leading domestic pharmaceutical distributor, will invest RMB 380 million ($58.28 million) in setting up a logistics center in the Hubei provincial capital of Wuhan, the company announced April 26.
The center will be located in the city's Dongxihu District and will occupy 173 mu (115,334 square meters), according to the announcement. Construction will take approximately 20 months, although no start date was given.
The logistics facility will be capable of distributing between RMB 6 billion ($920.25 million) and RMB 8 billion ($1.23 billion) worth of pharmaceutical products each year, the announcement added.
According to an April 27 report from the Wuhan-based Changjiang Times, the center will be one part of Jointown Pharma's planned pharmaceutical logistic industrial park. The park will also include medical centers and leisure facilities, and is expected to be the world's largest logistics base.
With the funds raised from its IPO in October of last year, Jointown Pharma began the construction of 11 logistics centers throughout China to support its business expansion. It will also establish new drug storage centers in the cities of Shanghai, Harbin, Tianjin and Hangzhou, as well as several locations in Hubei Province.
In 2010, the company achieved sales revenue of RMB 21.25 billion ($3.26 billion), up 12.10 percent year-on-year. Net profit in the same period increased 18.42 percent to RMB 360 million ($55.21 million).
- KZ