30th May 2014 08:37
LONDON (Alliance News) - Hutchison China MediTech Ltd Friday said Shanghai Traditional Chinese Medicine Co. Ltd has decided to grant the two companies' joint venture exclusive rights to sell six prescription drug products in China.
In a statement, Chi-Med said the Shanghai Hutchison Pharmaceuticals Ltd joint venture will exclusively commercialise the six products in China for an initial ten-year term.
The six prescription drug products, which had aggregate sales in 2013 of CNY45 million, or about USD7.3 million, cover multiple therapeutic areas including cerebrovascular disease, prostate health, bronchitis, cancer pain and kidney disease.
"The grant of these rights comes as part of a broader commercial restructuring of the SHPL joint venture, which although having no impact on equity structure or day-to-day operations, will allow for the expansion of its business scope," Chi-Med said.
The joint venture now has over 1,600 medical sales reps in China operating in about 600 towns and cities covering over 13,000 hospitals.
"We appreciate the faith that STCM is entrusting in us to commercialise these important products. We expect this to build material value for our SHPL joint venture over the coming years," Chi-Med Chief Executive Christian Hogg said.
Chi-Med shares were up 0.6% at 855 pence in London Friday morning.
By Steve McGrath; [email protected]; @SteveMcGrath1
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