Catalent Pharma Solutions has formed two joint ventures in China for its Softgel Technologies and Clinical Supply Solutions businesses.
The company has agreed to acquire, pending regulatory approvals, a majority share in Zhejiang Jiang Yuan Tang Biotechnology Co., Ltd. The Haining-based, privately held business produces nutritional softgel products for Chinese and Asia Pacific markets, and employs 120 staff. Catalent intends to work with regulators for future expansion into OTC and prescription softgel manufacturing in China.
Catalent has also formed a joint venture with ShangPharma Corp., to be called Catalent (Shanghai) Clinical Trial Supplies Co., Ltd. According to a Catalent statement, the JV's new 31,000-sq.-ft. facility in Shanghai, currently under construction, will be the first in China to provide end-to-end solutions for clinical trial supplies, including comparator sourcing, primary and secondary packaging and labeling, and storage and distribution.
Commenting on both investments, Catalent’s president and chief executive officer, John Chiminski, said, “As part of our growth strategy, these initial steps enable us to better serve the important Chinese market for both global and domestic customers. Our clients and their patients will benefit from access to Catalent’s advanced technologies and solutions, together with best-in-class innovation, reliable supply and quality compliance.”
“We are delighted to be working with Catalent, a world leader in drug development services and clinical supply services,” said Michael Hui, founder and chief executive officer of ShangPharma. “This cooperation will enable both ShangPharma and Catalent to better serve our multinational pharmaceutical customers through tailored, integrated solutions.”
Jiang Renfei, the chairman and chief executive officer of Zhejiang Jiang Yuan Tang Biotechnology Co., Ltd., commented “The combination of Catalent’s unparalleled track record of Softgel innovation and commercial success, and our deep understanding of the local market, will provide extensive benefits for our customers.”
Financial terms of the investments were not disclosed. In a statement, Catalent noted that it intends to make additional investments in these two facilities during the next several years to broaden its offerings in the Chinese market.