Fujifilm invests in China Resources Pharmaceutical Group

a core subsidiary of China Resources Holdings, one of China's largest business conglomerates

October 13, 2016

FUJIFILM Corporation (President Kenji Sukeno) has reached an agreement to subscribe for HK$820 million of ordinary shares in China Resources Pharmaceutical Group Limited (hereinafter China Resources Pharmaceutical Group) pursuant to its proposed initial public offering and new listing on the Main Board of the Hong Kong Stock Exchange.

As a core subsidiary of China Resources (Holdings) Company Limited (hereinafter China Resources Holdings), one of China's largest business conglomerates, China Resources Pharmaceutical Group operates a business involved in manufacturing, distribution and retail of a diverse range of different pharmaceuticals including chemical drugs, biopharmaceutical products and Chinese medicines. Since its incorporation in 2007, China Resources Pharmaceutical Group has grown continuously through the strategic acquisition of pharmaceutical companies and distributors in China, and became China's second largest pharmaceutical manufacturer in terms of revenue by 2015 and also a leading pharmaceutical distributor in China. China Resources Pharmaceutical Group has an extensive distribution network including 109 subsidiaries and 114 logistics centers located in major markets in China and it is capable of selling pharmaceutical products directly to more than 41,000 hospitals.

China Resources Pharmaceutical Group has a diverse retail network that includes Dong-E-E-Jiao Company Limited, a retailer of health food products. It also has close cooperative relationships with subsidiaries of China Resources Holdings including China Resources Vanguard, one of China's largest major retail chains.

Fujifilm has been operating healthcare business in China principally for medical diagnosis systems and services including X-ray diagnostic imaging devices, endoscopes and medical IT. Recently, Fujifilm is accelerating cooperation with Chinese major pharmaceutical companies and working to expand its healthcare business. The initiatives include an exclusive sales contract with Shenzhen Main Luck Pharmaceuticals Inc. for the Oral New-Type Quinolone Antibacterial Agent “Geninax tablets” as well as a patent licensing contract with Zhejiang Hisun Pharmaceutical Co., Ltd, for the effective ingredient of the anti-influenza drug “Avigan ® tablets”.

Through this investment in China Resources Pharmaceutical Group, Fujifilm plans to further explore the expansion of healthcare business in China, including its high quality pharmaceuticals and dietary supplements, regenerative medicine and medical devices.

Summary of China Resources (Holdings) Company Limited

Company name China Resources (Holdings) Company Limited
Chairman Dr. Fu Yuning
Location 49/F, China Resources Building, 26 Harbour Road, Wanchai, Hong Kong
Establishment 1938
Sales revenue RMB 472.9 billion in 2015 (approx. USD70.4 billion (calculated at 6.72 RMB/USD))
Business description The group is one of China's leading multi-industry conglomerates (power generation, real estate, consumer durables, pharmaceuticals, medical treatment, finance, cement, gas)

Summary of China Resources Pharmaceutical Group Limited

Company name China Resources Pharmaceutical Group Limited
Chairman Dr. Fu Yuning
Location 41/F, China Resources Building, 26 Harbour Road, Wanchai, Hong Kong
Establishment 2007
Sales revenue HKD 146.6 billion in 2015 (approx. USD 18.9 billion (calculated at 7.76 HKD/USD))
Business description The company is involved in the manufacturing, distribution and retail of pharmaceutical products.

For inquiries on information in this media release, contact:

Media Contact:
FUJIFILM Corporation Corporate Communications Division
TEL: +81-3-6271-2000
Other Contact:
FUJIFILM Corporation Healthcare Business Development Office
TEL: +81-3-6271-2254