Cipla Forms JV With Jiangsu Acebright For Making Respiratory Drugs In China
Cipla’s Asthma drugs. While Cipla EU will hold 80 percent stake in the joint venture, the remainder will be with Jiangsu Acebright. (Photographer: Santos Vera/Bloomberg News.)

Cipla Forms JV With Jiangsu Acebright For Making Respiratory Drugs In China

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The European subsidiary of Indian drugmaker Cipla Ltd. and China's Jiangsu Acebright Pharmaceutical Co. Ltd. have formed a joint venture to manufacturing of respiratory drugs in that country.

Cipla EU and Jiangsu Acebright invest a combined $30 million in the joint venture, Cipla said in a statement. While Cipla EU will hold 80 percent stake in the joint venture, the remainder will be with Jiangsu Acebright. Once incorporated, the joint venture will set up a manufacturing facility in China for making respiratory drugs, it added.

"While our core home markets remain our current growth anchors, we see China as a crucial part of our future road map... We are keen to take our well-established expertise in the respiratory segment to patients in China," Cipla's Global Chief Executive Officer Umang Vohra said.

Cipla will also explore routes to build a portfolio of products in other therapeutic segments such as oncology, said Vohra, adding that the pharma company had in May set up its China offices in Shanghai.

"We have a long-standing relationship with Acebright, and this partnership to build a manufacturing facility in China is a significant step for us," the global CEO said.

Jiangsu Acebright Group Chairman Shengping Xu said the tie-up strengthens the group's long-standing partnership of more than 20 years with Cipla.

"We strongly believe the joint venture will bring more products to Chinese patients in the respiratory segment," Xu said.

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