Pfizer launches generics JV in China with Hisun

Global drugs behemoth Pfizer (NYSE: PFE) and Zhejiang Hisun Pharmaceuticals (SSE Code: 600267), a leading Chinese pharmaceutical company, have announced the launch of Hisun-Pfizer Pharmaceuticals Co), a joint venture formed between the two companies to develop, manufacture and commercialize off-patent pharmaceutical products in China and global markets. This furthers the companies’ earlier framework agreements (The Pharma Letter February 19).

Hisun-Pfizer has an aggregate investment of $295 million and a registered capital of $250 million. Hisun holds 51% of the share and Pfizer holds 49%. The registration facilities and production plants of the joint venture will be located in Fuyang, Zhejiang province, while the management center and R&D center will be located in Shanghai and Hangzhou, respectively. The partners will contribute select existing products to the joint venture, which will have a broad portfolio covering cardiovascular disease, infectious disease, oncology, mental health, and other therapeutic areas. They will also contribute manufacturing sites, cash and other relevant assets.

The joint venture aims to build a robust sales network that covers most areas and hospitals in China and to enter the international market by leveraging on Pfizer’s global business networks.