Jiuzhou Pharmaceutical Acquires Two American Companies for 16 Million Dollars

On September 11, 2019, Jiuzhou Pharmaceutical announced that it planed to use $16 million to acquire PharmAgra Labs, Inc., and PharmAgra Holding Company, LLC, for the further development of the CRO and CDMO business in Europe and America,

After this transaction, Raybow Pharmaceutical will hold 100% equity in the two target companies through its U.S. subsidiary.

PharmAgra Labs was established in July 1998. With an equity value of $1.1 million, the company has provided CRO and CDMO services including research and development, clinical development and drug development for more than 20 years. Its major customers are biotechnology, large pharmaceutical and medical device companies in the US.

Founded in August 1998, PharmAgra Holding Company is not engaged in substantive business, only holding the land and real estate where PharmAgra Labs operates. 

The acquisition will help Jiuzhou Pharmaceutical improve the process development and commissioning services for innovative preclinical research and phase I clinical API to North America. When the transaction is completed, Jiuzhou Pharmaceutical will combine the existing customer resources, research, and development equipment and technical personnel of these two companies, with the domestic business of Raybow Pharmaceutical, to improve Raybow Pharmaceutical’s one-stop service in global and develop its CDMO business.

Up to now, Jiuzhou Pharmaceutical's CDMO business covers the resistance to tumors, depression, Parkinson's disease, hepatitis C, diabetes, respiratory infections, and other hot spots in new drug development projects. The company has cooperated with dozens of multinational drug companies including Novartis and Roche, and domestic drug companies such as Luye Pharma and Hua Medicine.