Portugal: Portuguese pharmaceutical company Hovione buys Chinese company

28 February 2008

Loures, Portugal, 28 Feb – Portuguese pharmaceutical company Hovione said Wednesday it had invested US$20 million in acquiring a 75 percent stake in Chinese company Zhejiang Hisyn Pharmaceutical.

The deal provides the Portuguese company with a research center in Shanghai and a 22,000 square meter factory set up in a 10 hectare plot in Zheijiang, a coastal province near Shanghai.

According to Hovione, the Chinese company had previously suppied the group with raw materials.

“This investment aims to not only give us access to a much more competitive cost and production structure, which allows us to consolidate our position in the market, but also works as a platform to enter new emerging markets, such as China, India and Brazil, where the price factor is decisive,” said Hovione’s chief financial officer, Miguel Calado.

In Portugal Hovione is based in the city of Loures, north of Lisbon, and the company also has factories in Macau and the United States.

The group has 625 workers and in 2006 its turnover was 70 million euros. (macauhub)