SPH enters JV with Shanglian Biochemical
Shanghai. May 20. INTERFAX-CHINA - Shanghai Pharmaceutical Co. Ltd. established a joint venture (JV) with Shandong Shanglian Biochemical Pharmaceutical Co. Ltd. on May 19, a local newspaper in Shandong Province reported.
According to Qilu Evening News, the new JV, Shandong SPH Shanglian Pharmaceutical Co. Ltd., aims to become a major pharmaceutical distributor in Shandong Province.
Shanghai Pharma is a subsidiary of Shanghai Pharmaceutical Holding Co. Ltd. (SPH). This is the first attempt by SPH to expand after it re-listed on Shanghai Stock Exchange in March this year.
According to an announcement by SPH, the registered capital of the JV is RMB 18 million ($2.64 million). SPH owns a 60 percent stake, while Shanglian Biochemical has taken a 40 percent share.
Shandong is a center for drug manufacture and consumption in China, and SPH hopes to strengthen its leading position in East China through this investment.
- KY