China-based pharmaceutical company Shanghai Fosun Pharmaceuticals agreed to make a $35m equity investment in US-based generic drug manufacturer Amerigen Pharmaceuticals on Friday.
Amerigen comprises a group of companies whose operations span both the US and China, the latter through subsidiary Suzhou Amerigen Pharmaceuticals. It will use the money to expand its product pipeline and increase research and development.
Fosun’s parent company, conglomerate Fosun International, established a $100m venture capital firm in April 2014 called Kinzon Capital in order to invest in US-based companies.
John Lowry, president and chief executive of Amerigen, said: “With Fosun’s leading presence across the spectrum of healthcare in China, and its international outlook, we view this equity investment as the first step in a broader collaboration between the two companies that will facilitate the joint development of products targeting both the United States and Chinese pharmaceutical markets.”