China Resources Double-Crane Pharmaceutical Co., Ltd.

On November 26, 2024, Pfizer announced a strategic cooperation with China Resources Pharmaceutical Commercial to manage the commercialization of four oncology treatments in China. These medications include Anastrozole, Abiraterone, Palbociclib, and Crizotinib, which will be managed by China Resources. Pfizer’s China President, Peng Zhenke, and China Resources’ Deputy General Manager, Han Yuewei, attended the signing ceremony. Among these drugs, Icotinib and Epirubicin have already been included in the alliance procurement list, while Palbociclib and Crizotinib are subject to national negotiations, resulting in significant price reductions. Palbociclib also appeared in the newly published tenth national procurement list, indicating further price cuts. The collaboration will commence on December 1, with Pfizer working closely with China Resources to ensure a smooth transition for affected employees.

Recently, China's pharmaceutical industry ushered in a major equity change, China Resources Sanjiuannounced that it will buy 28% of Tasly's shares at a high price of 6.212 billion yuan, which marks another major expansion of China Resources Pharmaceutical territory. China Resources Sanjiu, as an important chess piece of China Resources Group in the pharmaceutical field, has been actively enhancing its market influence and business coverage through merger and acquisition strategies in recent years. The acquisition of Tasly will undoubtedly add new weight to its position in the pharmaceutical market. For CR 39, the acquisition of Tasly can not only significantly increase its market share and further consolidate its leading position in the field of traditional Chinese medicine and prescription drugs, but also help integrate the resources of the two sides and enhance the overall competitive strength. By absorbing Tasly's high-quality product lines and research and development capabilities, CR 39 is expected to achieve new breakthroughs in product development and market development. For Tasly, the transfer of part of the equity to China Resources 39 is also a strategic adjustment made in the current competitive environment of the pharmaceutical industry. Through this transaction, Tasly will receive a substantial cash injection, which will help to optimize its financial structure and alleviate possible financial pressure. At the same time, with the huge resources and market channels of China Resources 39, Tasly can better promote the layout of its products in the country and even the world, and lay a solid foundation for future sustainable development. This transaction reflects the deep consolidation and transformation that the Chinese pharmaceutical industry is undergoing. With the increasingly strict supervision of the industry and the intensification of market competition, large pharmaceutical groups continue to optimize the allocation of resources and improve the concentration of the industry through mergers and reorganizations. According to relevant data, in recent years, the number and scale of mergers and acquisitions in China's pharmaceutical industry have shown an upward trend, which undoubtedly indicates that the future competition pattern of the pharmaceutical market will be clearer, and the position of the industry leader will be more stable, which is conducive to the healthy and orderly development of the industry. The acquisition of Tasly by China Resources 39 is an important milestone for the Chinese pharmaceutical industry and will have a profound impact on both parties and the industry as a whole. This is a strong combination, but also the inevitable trend of the development of the industry, looking forward to the two sides in the future to create greater value, promote China's pharmaceutical industry to a new height.

In a major strategic move in the pharmaceutical industry, China Resources Boyalife announced on July 19, 2024 that it will fully acquire the entire equity of Green Cross Hong Kong Holdings Limited held by GC Group for a transaction value of 18.2 billion yuan. This decision marks another major breakthrough in the field of blood products and further consolidates its leading position in the Chinese market. Green Cross (China) Biological Products Limited, a wholly owned subsidiary of Green Cross Hong Kong Holdings Limited, is a leader in the domestic blood products industry, especially in the production and sales of human Factor VIII and recombinant Factor VIII. At present, the company has 16 products covering 6 major varieties, and the pulp production volume in 2023 reached 104 tons, showing its strong research and development and production capacity. China Resources Pharma's deep insight and long-term commitment to the blood products industry makes this acquisition particularly critical. As a senior participant in the Chinese pharmaceutical market, CRM has always firmly believed that the field of blood products has high barriers and stable competitive landscape, so through the merger and integration strategy, it continues to improve its competitiveness in this field. Since the successful acquisition of Boya Biology in 2021, China Resources Medicine has become more determined in the blood products track. Although the 18.2 billion yuan M&A deal poses a challenge to the 2023 net profit level of China Resources Bioscience, the long-term value of this investment cannot be ignored given Green Cross China's deep accumulation in blood coagulation products and its improving pulp extraction technology. The brand influence and market penetration of Green Cross (China) will bring significant synergies to CR Boyalife, further enhancing its market share and profitability in the industry. Going forward, China Resources Pharma expects to maintain the pace of acquisitions in the blood products sector through continued resource integration and strategic investments, with a view to establishing a more solid dominant position in this high-growth, high-value market. This strategic decision will not only promote the business development of China Resources Pharmaceutical, but also have a profound impact on the development pattern of the entire Chinese pharmaceutical industry.