Drug maker Shionogi gets capital injection from China’s Ping An Insurance
TOKYO, NNA – Major Japanese pharmaceutical firm Shionogi & Co. has partnered with China’s leading private insurance group, Ping An Insurance (Group) Company of China Ltd., and raised 33.534 billion yen ($310 million) to develop new drugs in China and other Asian countries.
Ping An’s subsidiary, Ping An Life Insurance of China Ltd., will acquire shares in July through a third-party allotment to hold voting rights of 2.05 percent in Shionogi, the Japanese firm said in a statement Monday.
The Osaka-based drug maker will use the capital to acquire development rights for new drugs, the establishment of a quality control system and a sales platform outside Japan.
It will combine its research and development capabilities with the Guangdong-based firm’s artificial intelligence technology and healthcare data collected from its customers in finance, insurance and health-related businesses.
The two sides aim to seal the deal for the establishment of a joint venture in China by the end of July. The JV will explore business opportunities ranging from disease prevention, medical checks and prognosis improvements to drug development, a Shionogi spokesman told NNA on Monday.
Shionogi sees the growing market in China as one of its key areas along with Japan and the United States, according to the statement.