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    Home > Medical News > Latest Medical News > Jingxin Pharmaceutical completes 205 million yuan acquisition of Shaxi Pharmaceutical

    Jingxin Pharmaceutical completes 205 million yuan acquisition of Shaxi Pharmaceutical

    • Last Update: 2022-01-11
    • Source: Internet
    • Author: User
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    In order to strengthen the large varieties of traditional Chinese medicine and enhance the brand influence, another large pharmaceutical company has spent more than 200 million yuan on the acquisition

    01

    01

    205 million, Jingxin Pharmaceutical completed the acquisition

    205 million, Jingxin Pharmaceutical completed the acquisition

    On December 15, Zhejiang Jingxin Pharmaceutical issued an announcement on the acquisition of 100% equity of Guangdong Shaxi Pharmaceutical and related transactions
    .
    After the completion of this acquisition, Shaxi Pharmaceutical will become its wholly-owned subsidiary

    .

    This acquisition has already begun.
    In November this year, Jingxin Pharmaceutical issued an announcement stating that it plans to acquire 99% of the shares of Shaxi Pharmaceutical held by Yuanjin Health and 1% of Shaxi Pharmaceutical held by Jingxin Holdings for 205 million yuan.
    Of equity

    .

    Jingxin Pharmaceutical believes that the Chinese medicine business segment is its main sub-business in addition to the two core areas of mental nerves and cardiovascular and cerebrovascular.
    The variety and brand influence will promote the healthy development of the Chinese medicine business.
    It plans to complete the acquisition for 205 million yuan

    .

    Shaxi Pharmaceutical is mainly engaged in the research and development, production and sales of Chinese patent medicines
    .
    The main products are Paishi granules, Shaxi herbal tea, Runchang Ningshen ointment, Guxian tablets, Shuquan pills and so on

    .

    According to the performance report for the first three quarters of 2021, Shaxi Pharmaceutical achieved revenue of 94.
    220 million yuan and net profit of 9.
    385 million yuan

    .

    Jingxin Pharmaceuticals stated that after the completion of the acquisition, it will be able to make comprehensive use of brand, culture, and channel advantages to create large varieties of traditional Chinese medicines such as Shaxi herbal tea and Kangfu Xinye, and realize the active development of existing Chinese medicine business, which is in line with the development of the Chinese medicine sector.
    Planning is conducive to further improving its overall operating performance and achieving sustainable development

    .

    02

    02

    Continue to acquire, aiming to broaden the Chinese medicine industry

    Continue to acquire, aiming to broaden the Chinese medicine industry

    In the recent period, Jingxin Pharmaceutical has continued to deploy in the field of traditional Chinese medicine
    .

    On November 8, Jingxin Pharmaceutical issued an announcement regarding the acquisition of 6% equity in Hangzhou Huqing Yutang Pharmaceutical and related transactions
    .

    Hu Qing Yu Tang Hangzhou Hu Qing Yu Tang Group Co.
    , Ltd.
    holding subsidiaries, the main parameters, Hu Qing Yu Tang Pharmaceutical holding company, Hangzhou Hu Qing Yu Tang Co.
    , Ltd.
    Sinopharm number

    .
    As a nationally well-known and time-honored traditional Chinese medicine company, Huqing Yutang Pharmaceutical has 182 drugs approved for production by the state, among which compound Danshen tablets and Angong Niuhuang pills are listed as designated varieties in Zhejiang Province’s medical reserves

    .

    The performance report for the first half of 2021 showed that Hu Qingyutang had an operating income of 646 million yuan and a net profit of 117 million yuan in the first half of the year
    .

    In addition to acquisitions, Jingxin Pharmaceutical also invests in the layout of the Chinese medicine industry
    .

    On June 21, Jingxin Pharmaceutical announced that it agreed to invest 200 million yuan from its subsidiary Inner Mongolia Jingxin Pharmaceutical to invest in the construction of a Chinese medicine production base in the Bayannaoer Economic and Technological Development Zone
    .

    According to the third quarter report of Jingxin Pharmaceutical, in the first three quarters of 2021, revenue was 2.
    468 billion yuan, a year-on-year increase of 1.
    33%, and net profit was 429 million yuan, a year-on-year increase of 15.
    21%

    .

    03

    03

    Find new development paths through acquisitions

    Find new development paths through acquisitions

    With the continuous advancement of pharmaceutical policies, acquisitions among domestic pharmaceutical companies continue to occur
    .

    On the evening of November 22, Boya Bio-Bio released the "Announcement on the Completion of the Share Agreement Transfer and the Completion of the Issuance of Shares to Specific Objects and the Change of Controlling Shareholders and Actual Controllers
    .
    " After the completion of the acquisition, China Resources Pharmaceutical Holdings became its controlling shareholder, China Resources Co.
    , Ltd.
    became its actual controller, and the State-owned Assets Supervision and Administration Commission of the State Council became its ultimate actual controller

    .

    On October 28, Guizhou Yibai Pharmaceutical issued the "Announcement on the Acquisition of 70% Equity in Deyang Tumor Hospital Co.
    , Ltd.
    "

    .
    Yibai Pharmaceutical intends to acquire a 70% stake in Deyang Cancer Hospital Co.
    , Ltd.
    jointly held by Foji Medical Management, Foming Medical Management and Foxiang Medical Management for 336 million yuan

    .
    After the completion of this acquisition, Deyang Cancer Hospital will become its holding subsidiary

    .

    Whether it is China Resources Pharmaceutical's acquisition of Boya Bio to expand into the blood product market, or the "marriage" of Yibai Pharmaceutical and Deyang Cancer Hospital to increase the possibility of drugs entering the hospital market, they are seeking new development paths through acquisitions
    .

    In addition to domestic pharmaceutical companies, acquisitions by multinational pharmaceutical companies have also continued
    .

    On December 8, Thermo Fisher announced the completion of the acquisition of PPD, a CRO company that provides clinical research services, with a total transaction value of US$17.
    4 billion

    .

    Futu Securities analyzes that with the addition of PPD, Thermo Fisher is expected to become one of the world's largest CRO companies, and will further expand its value proposition in the biotechnology and pharmaceutical fields
    .

    On November 22, Merck announced the acquisition of Acceleron for US$11.
    5 billion.
    It is reported that its sotatercept, currently in Phase III of the clinical trial, has the potential for peak sales of billions of dollars

    .

    On July 23, AstraZeneca announced the acquisition of Brother Alex for 39 billion U.
    S.
    dollars

    .
    AstraZeneca China believes that AstraZeneca’s global headquarters announced that it has officially completed the acquisition of Yalixiong Pharmaceuticals in the United States, marking AstraZeneca’s formal entry into the field of rare diseases

    .

    This shows that through acquisitions, pharmaceutical companies can quickly enter new markets, seek new development, and consolidate their position in the industry
    .
    For small and medium pharmaceutical companies, acquisition or mergers can also be another way out for their own development

    .

    According to analysis by industry professionals, according to the current industry trends, the total amount of large-scale pharmaceutical companies' M&A transactions in 2022 may exceed US$1.
    7 trillion

    .

    With the continuous development of the pharmaceutical industry, market competition has become increasingly fierce
    .
    In this context, pharmaceutical companies need to constantly adjust their strategies, and M&A, acquisitions, and sales will be more frequent.
    Both pharmaceutical companies and medical professionals need to be fully prepared

    .

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