Fuan Pharmaceutical Gains Full Control of JD Capital-invested Team Pharmaceutical


In November 2014, Fuan Pharmaceutical (Group) Co., Ltd. (300194) announced its plan to acquire 100% of JD Capital-invested Team Pharmaceutical with proceeds from private placement and cash; the total consideration would be around 570 million yuan. The deal was recently approved by the China Securities Regulatory Commission (CSRC).

Team Pharmaceutical is a manufacturer of modern pharmaceutical chemicals. It is mainly engaged in the R&D, production and sales of bulk pharmaceutical chemicals (BPC) and preparations such as antineoplastics, auxiliary drugs and drugs for respiratory diseases. As a well-known brand in clinical application, the company owns multiple exclusive and independent-pricing antineoplastics and relevant auxiliary drugs.

Fuan Pharmaceutical focuses on the R&D, production and sales of antibiotic BPC and preparations. It has established a complete industrial chain covering medical intermediate, BPC and preparations. After the acquisition, as a wholly-owned subsidiary of Fuan, Team will enrich Fuan’s existing product pipeline and strengthen its core competitiveness in pharmaceutical industry.

In recent years, as domestic consumption grows and the population ages, the pharmaceutical market keeps expanding on a yearly basis. The acquisition is a positive complementation for both sides, offering new profitable areas for public companies.

JD Capital bought shares of Team Pharmaceutical in 2012. It was the second largest shareholder of the company, holding 20% of its stakes prior to the acquisition.