Shanghai Pharmaceuticals to Buy Cardinal Health's Unit for US$557 Million

By Joanne Chiu Features Dow Jones Newswires

Shanghai Pharmaceuticals Holding Co. (2607.HK) plans to buy the pharmaceutical distribution network of U.S. company Cardinal Health Inc. in Hong Kong and mainland China for US$557 million.

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The Hong Kong listed pharmaceutical company said Wednesday that it has agreed to buy the entire interest in Cardinal Health's unit -Cardinal Health (L) Co. in a bid to broaden the coverage of its distribution network in China and build up direct-to-pharmacy chain with specialty brands.

Cardinal Health (L) Co. operates 14 direct sales companies and 17 distribution and operation centres in China with a total storage area of around 146,000 square meters and around 7,000 square meters cold storage capacity, it said.

Write to Joanne Chiu at joanne.chiu@wsj.com

(END) Dow Jones Newswires

November 14, 2017 20:15 ET (01:15 GMT)