Global alternative investment management and advisory firm CITIC Capital now holds a controlling stake in Harbin Pharmaceutical Group Co (HPGC) after increasing its holding in the Chinese state-backed business.
In an official announcement on December 27, it was disclosed that CITIC Capital, through its affiliates, increased its stake in HPGC to 60.86 per cent, making it the controlling shareholder in the company where it has been an investor since 2005.
CITIC Capital Investment Fund invested Rmb1.5 billion ($228.87 million) to raise its stake in HPGC, China’s second-biggest drugmaker by market value.
HPGC is engaged in the research, development, manufacture and sale of pharmaceutical products. The company primarily offers antibiotics, Chinese patent medicines, over-the-counter (OTC) medicines, healthcare products and synthesized preparations, among others.
The pharmaceutical firm has five famous trademarks in China – Hayao, Sanjing, Gaizhonggai, Hutong and Shiyitang. Hayao is one of the most valuable pharmaceutical brands in China, with a brand value evaluated to be worth Rmb18.4 billion.