Chi-Med (LSE: HCM), the drugmaker controlled by Hong Kong billionaire Li Ka-shing, is the holding company of a pharmaceutical and healthcare group based primarily in China.

Chi-Med is a subsidiary of Hutchison Whampoa Ltd, an international corporation listed on the Main Board of the Hong Kong Stock Exchange which had an annual turnover of approximately $50 billion in 2011 and over 250,000 employees in 53 countries worldwide.

Chi-Med focuses on researching, developing, manufacturing and selling pharmaceuticals, and health oriented consumer products primarily in the China market.

Chi-Med was established in 2000 as a wholly-owned subsidiary of HWL. Chi-Med operates three core divisions: China Healthcare Division - an established China pharmaceuticals operation with growth prospects based on its market-leading products and the rapid expansion of the pharmaceutical industry in China. This is being driven by the increase in the government spending on national healthcare, as well as the upgrading of living standards, translating into an increasingly strong source of profit and cash for the group.

Second is the Drug R&D Division, which over the past 10 years has invested about $100 million in establishing China's leading end-to-end oncology and immunology drug R&D operation.

Lastly is the Consumer Products Division, an extension of the China operation which enables Chi-Med to capture part of the growing consumer trend towards healthy living and to capitalize on the considerable consumer products synergies with the broader HWL group.